Teachers given a lesson in affordable home ownership

Teachers in Luton were given a valuable lesson when Orbit HomeBuy Agents recently visited Putteridgebury University to talk about affordable home-ownership.

Orbit’s Stakeholder Relations Officer, Jennie Spencer, was invited to set up a stand during the lunch period at the Luton Teachers’ end of year event to talk to them about HomeBuy products which can help key workers take their first step onto the property ladder. She also used the opportunity to promote a new mortgage, specifically aimed at helping teachers purchase their own home.

The 100 per cent mortgage is available through the Teachers Building Society to teachers purchasing a new home using HomeBuy Direct. This means that they can buy a brand new home without the need for a deposit.

Offered by many housing developers, HomeBuy Direct enables eligible purchasers to take advantage of equity loans provided jointly by the developer and the government of up to 30 per cent of the property value. There is no interest to be paid on the loan for the first five years and after this initial period, homebuyers pay a fee on the equity loans of 1.75%, rising annually by the Retail Price Index (RPI) plus one per cent. Those purchasing a home through HomeBuy Direct, still have 100 per cent title to their home and can sell it on the open market without restriction.

Orbit HomeBuy Agents Manager, Karen Coleman said: “We are processing around a thousand applications each month so we are acutely aware that people still aspire to buy their own home and we are committed to promoting HomeBuy products to them. Teachers play a valuable role in our communities and we were delighted to be invited to the University to promote the new mortgage. The teachers demonstrated a great deal of interest in it and we hope that many of them will now feel more confident that they can in fact afford a home of their own in their local area.”

HomeBuy Direct is just one product that is available to help teachers and other frontline key workers, as well as other people in housing need, to find an affordable home.

Also available is the popular New Build HomeBuy scheme under which you would generally take out a mortgage for a share of the property and rent the remaining share at a discounted rate. You can then purchase additional shares in the future until you own the property outright.

If you prefer to rent, the Rent to HomeBuy and Intermediate Rent schemes allow you to rent your home at a discounted rate while saving up for a deposit to purchase at a later date and both of these are helping many people find an affordable home.

Orbit is the largest HomeBuy Agent in England, covering six zones including Norfolk and Suffolk; Bedfordshire and Cambridgeshire; Coventry and Warwickshire; Herefordshire and Worcestershire; Staffordshire and Shropshire; and Birmingham, Solihull and the Black Country.

For further information, visit Orbit HomeBuy Agent’s website: orbithomebuyagents.co.uk