Discounted houses for local people and key workers will be made available as a new housing scheme launches today.
The First Homes scheme will help local first-time buyers – many of whom will be key workers like NHS staff and veterans – onto the property ladder by offering homes at a discount of at least 30% compared to the market price.
That same percentage will then be passed on with the sale of the property to future first-time buyers, meaning homes will always be sold below market value – benefitting local communities, key workers, and families for generations to come.
The scheme will support local people who struggle to afford market prices in their area, but want to stay in the communities where they live and work.
The first First Homes properties went on the market today as part of the first phase of an early delivery project in the Bolsover district, East Midlands, with the Housing Secretary in attendance.
Further sites are set to launch across the country in the coming weeks. A further 1,500 will enter the market from the autumn, with at least 10,000 homes a year being delivered in the years ahead and more if there is demand.
Delivery of the scheme is part of the government’s wider pledge to build one million new affordable and attractive homes in this Parliament and help put home ownership within reach for people across the country.
Major high-street lenders Halifax and Nationwide Building Society, along with local building societies and community lenders, announced that they will be offering high loan-to-value mortgages against First Homes to support the roll-out of the scheme.
First Homes follows on from the 95% mortgage guarantee scheme which helps first-time buyers secure a mortgage with just a 5% deposit and the government’s ‘Own Your Home’ campaign showcasing the range of flexible home ownership options available.
The campaign highlights the support available to help make home ownership a realistic and affordable option for more people than ever.
Broadcast, digital and radio adverts are showcasing the range of government schemes available to aspiring home-owners to help them get their foot on the housing ladder.
First-time buyers can find the right scheme for them via the ‘Own Your Home’ website which provides a single gateway for all routes to home ownership.
The website is an easy and accessible way for first-time buyers to start their home ownership journey and find the right government scheme for them.
Housing Secretary Robert Jenrick said: “Enabling more people to buy their own homes is at the heart of the mission of this government, and First Homes will offer a realistic and affordable route into home ownership for even more people who want to own their own home. Thanks to First Homes, we will offer more homes to local people and families, providing a route for first-time buyers to stay in their local areas rather than being forced out due to rising prices.
“First Homes will also support our fantastic key workers who are looking to get their first foot on the housing ladder – from front-line doctors and nurses to delivery drivers and supermarket staff – by giving many of them the chance to buy a home at a 30% discount. These homes will be locked in for perpetuity to first-time buyers and key workers from their local area – making them an asset to both their owners and the wider local community.”