Bristol buyers snap up homes through HomeBuy Direct

David Wilson Homes is reporting a massive interest from homebuyers signing up to the new government HomeBuy Direct initiative which enables them to move into a new home for just 70 per cent of the price.

Pre-registration for the scheme has seen 14 reservations in the region already, so the housebuilder is urging interested buyers not to delay and finally get their dream home.

Those taking advantage will receive a 30 per cent equity loan funded jointly by David Wilson Homes and the government. The buyer finances the remaining 70 per cent of the purchase price either through a mortgage, a deposit or a combination of the two.

The company is backing the initiative with a total of 3,000 homes nationwide. The developments being allocated to the scheme in Bristol include Strawberry Fields at Downend, The Brambles in Kingswood and The Courtyard at Beaufort Vale, Siston.

“We have had a tremendous response since we launched pre-registration for HomeBuy Direct and receiving 14 reservations already, shows that there is still enormous demand for new homes in this area,” said sales director Bernice McKenna.

“This is such a great opportunity for buyers who think they cannot afford to get on the property ladder let alone own a beautiful new build. The 30 per cent equity loan from ourselves and the government means that in many cases they don’t even need to have a deposit.

“The scheme is open to First Time Buyers, key workers and others who are currently renting. People who have previously owned properties but are now unable to do so can also apply.”

Under HomeBuy Direct, buyers will be protected against possible falls in property values up to 30 per cent as the David Wilson Homes/government equity share will absorb price risk. In addition, there is no interest to pay on the joint David Wilson Homes/government equity stake for the first five years, although a fee will be charged from year six onwards.

Buyers can redeem the loan in instalments, purchasing up to 100 per cent of the equity after their initial purchase by buying additional equity at the market rate. Alternatively, if they sell their home, the equity loan is repaid by way of a share of the sale proceeds.

Households eligible to take advantage of the offer will be earning less than £60,000 and would not normally be able to afford to buy a suitable property on the open market.

For more information, log on to dwh.co.uk.