The smarter way to buy your own home

Owning a home of their own is back on the agenda for thousands of people previously priced out of the market - including those wanting to buy at one of 33 Redrow developments across England.

The Government-backed HomeBuy Direct scheme will see home owners benefiting from an interest-free equity loan up to 30% of the purchase price for almost 400 Redrow houses and approximately 290 apartments, including properties up to £300,000 in value.

The equity loan will be funded jointly by the Government and Redrow - and, crucially, it's interest-free for the first five years.

Some homes are built and ready to move into and those keen to take advantage of HomeBuy Direct can register their interest now via Redrow's website.

First time buyers, key workers, people re-entering the property market after a relationship break-up and families facing overcrowded accommodation are among those who can apply for these homes - provided annual household income is less than £60,000.

Customers will own 100% of their home from day one - but only have to pay between 70 and 85% of the purchase price. They can start purchasing the remaining share in instalments after just 12 months and, because the Government and Redrow will share any equity depreciation as well any appreciation, in a falling market the scheme provides an extra cushion for the homeowner against negative equity.

Paul Madden, group marketing director for Redrow, said: "With Redrow matching the Government pound for pound to provide the 30% equity loan, no need for a large cash deposit and the loan being interest free for the first five years, this is an excellent opportunity for people to get the new home they've always wanted at a price they can afford. It has to be the smartest way to get onto the property ladder in today's climate.

"HomeBuy Direct will be available on a selection of houses and apartments at 33 different developments, which all offer well designed, efficient to run and easy to maintain new homes, featuring the quality specification, fixtures, fittings and appliances expected by today's home owners."

Some of the properties being offered through HomeBuy Direct are ready to move into now, while others will be built later this year - and all must be legally complete by March 2010.

The loan can cover between 15 and 30% of the purchase price and, after the five-year interest-free period, is subject to a gradually increasing fee. If a home owner sells their property before paying back the equity loan, it will be repaid from a share of the sale proceeds.

Redrow has launched a pre-registration scheme for customers to sign-up for more information and to begin the process of choosing their new home. With only a limited number of properties available through HomeBuy Direct would-be home owners are advised to act quickly. Go to redrow.co.uk for more information.