Orbit HomeBuy Agents support changes to New Build HomeBuy

Changes are being made to the New Build HomeBuy lease that is designed to help people onto the property ladder via shared ownership.

The changes, which will come into force from 6 April are wholly supported by Orbit HomeBuy Agents because they will simplify the lease making it more accessible and more attractive to purchasers.

Created by the Homes and Communities Agency, the revised lease aims to make it clearer to both lenders and purchasers exactly what their responsibilities and liabilities are. It will speed up the home buying process and will give better assurances for lenders offering shared ownership mortgages. These tend to be more complicated than mainstream mortgage products, and it is hoped that the changes will encourage new lenders to the shared ownership market.

Orbit HomeBuy Agents operate across Norfolk and Suffolk, Bedfordshire and Cambridgeshire; Coventry and Warwickshire; Hereford and Worcestershire; Staffordshire and Shropshire; and Birmingham, Solihull and the Black Country and their Team Manager, Karen Coleman said the change was a positive move. “As the largest HomeBuy Agents in England, we are working extremely hard, along with partner housing associations, local authorities and developers in all our areas of operation to help people find a home of their own, at an affordable cost.

“We are currently dealing with around 1,000 applications per month for HomeBuy products and the majority of these remain for New Build HomeBuy because people still do aspire to become homeowners. This is still the most affordable low-cost home-ownership product available today and we fully endorse any changes which make it more accessible.”

New Build HomeBuy is a popular product because it enables buyers to purchase a share of a brand new property. This share, which is often as little as 25 per cent, is paid by a mortgage and the purchaser then pays a subsidised rent on the remaining share. It also offers flexibility because buyers can ‘staircase’ - purchasing additional shares in the future, if they wish, until they own the property outright, just as they would if they were purchasing with a conventional mortgage.

Orbit HomeBuy Agents operate across Norfolk and Suffolk, Bedfordshire and Cambridgeshire; Coventry and Warwickshire; Hereford and Worcestershire; Staffordshire and Shropshire; and Birmingham, Solihull and the Black Country.

Whether you are a first time buyer, a key worker, someone looking for a new home following a relationship breakdown, a social housing tenant or on a local authority waiting list, providing your household income is less than £60,000, Orbit HomeBuy Agents may be able to help you.

For further information, visit orbithomebuyagents.co.uk.