Electrician gets a foot on the ladder in Plymouth

A Devonport man’s ambitions to own his first home have been boosted by an initiative designed to help thousands of people to enter the property market.

Electrician Luke Stokes, 25, is the first person to take advantage of the First Time Buyer Initiative (FTBI) to reserve one of Redrow’s apartments at Vision @ Devonport, and believes in today’s mortgage lending climate, it was the only realistic route to owning his own property and moving out of his parents’ house.

The FTBI was launched at Vision @ Devonport by the Homes and Communities Agency (HCA) to help first time home buyers get a foothold on the property ladder. This is now possible at the development for an initial outlay as low as £47,500.

Luke says: “I didn’t want to throw away dead money by renting but I also didn’t have a substantial deposit to enable me to get a mortgage via a conventional application.

“I first heard about the First Time Buyer Initiative when Redrow sent me the details in the post, as I’d previously registered to receive updates about Vision. I visited the site and explained that I had never gone through the process of buying a home before and Redrow has guided me every step of the way.

“I’m pleased with how well it is progressing and without the FTBI I don’t think I would be in the position I’m in now. Even if I had been able to secure a mortgage another way, I would have probably only been able to afford a house that would be in need of a lot of money and effort to get it up to scratch, in an area I didn’t like. But through the scheme I’ve been able to reserve a brand new home, close to work, and I will still have some money in my pocket to have a life.”

The regeneration of Devonport was also a key part of Luke’s decision to buy at Vision. Having lived in Devonport for 15 years, he added: “The future of the area is very positive and I am looking forward to being part of that. As Vision @ Devonport continues to take shape it has the potential to be a nice place to live.”

The FTBI scheme is available to first time buyers who are able to contribute a minimum of 50% towards the cost of the property. The HCA then assists by lending them the outstanding amount, interest free for the first three years. The scheme is administered at Vision by local agent Home2Own, who act on behalf of the HCA and help guide the buyer through the purchase process.

The buyer owns 100% of their new home however, the percentage contributed by the HCA must be repaid if and when the house is re-sold. The amount paid back is a percentage of the market value at the time of sale. This provides buyers with an added cushion against negative equity if the resale price drops below the original purchase price.

Buyers can make part payments to the HCA or repay the whole sum at any time. After three years, the purchaser will start to pay a fee to the HCA, based on the size of their outstanding contribution. This fee is 1% after three years; 2% after four years; and 3% thereafter. A full and clear explanation of the terms and conditions is available from Redrow.

Redrow Homes is regenerating the former South Yard Stores Enclave, in conjunction with the HCA, to create a new development complete with more than 460 new homes, shops, offices and community facilities.

Currently available at Vision @ Devonport are one-bedroom apartments and three and four-bedroom townhouses, priced from £95,000 to £200,000.

For more information go online at redrow.co.uk.

For further information on the FTBI please log on to myftbihome.co.uk.