Five point plan helps first timers find the one with Barratt
First time buyers looking to take their first step onto the housing ladder in Bridgwater can take five and turn to Barratt for a helping hand.
The five star housebuilder offers a number of options designed to help buyers turn the dream of owning a brand new home into a reality, and these are available on selected homes at its Festival development in Bridgwater.
“We call it our five point plan for first time buyers,” said Barratt sales director, Caroline Hill. “It offers buyers a choice and they decide which route will take them to their ideal Barratt home.
“Often it is difficult for many buyers to imagine taking that first step into the property market – and we understand that. But even in the current financial climate, it can be done. And we will do everything we can to help.
“Whatever the circumstances, our experience shows that there is often at least one option from the five point plan worth pursuing,” said Caroline.
“We have a selection of homes suitable for first time buyers at Festival including two bedroom homes from £128,000.’’
Barratt’s five point plan for first time buyers :
1. Hitachi loan. Parents or guardians looking to help a loved one onto the housing market can apply for an unsecured personal loan of up to £50,000 to help fund a new Barratt home. The loan, funded by Hitachi Capital (UK) PLC is the first of its kind currently on the market and is specifically designed to address current mortgage restrictions.
“This is an excellent option for those who want to help without having to re-mortgage their own home,” said Caroline.
Under the loan scheme, the typical buyer will only need to raise a deposit of five per cent. An 80 per cent mortgage is available from a number of High St lenders. And the remaining 15 per cent of the purchase price can be met through the unsecured loan from Hitachi Capital (UK) PLC to the buyer’s parents or legal guardian. There are no early repayment charges and unlimited overpayments are allowed at any time during the agreement without penalty.
2. Parent Power: This ground-breaking agreement rewards the growing number of Mums and Dads, or indeed anyone looking to help with a deposit towards their loved ones’ first home.
“If anyone funds the deposit themselves, we will pay the interest that would have been earned on savings at a highly competitive rate – well above the Bank of England’s base rate.’’
The offer means that those who want to help their loved ones buy their first home can do so without losing a penny. Barratt will pay five per cent interest per annum for a full five years on a deposit of up to 20 per cent.
3. Parental investment: Another opportunity for Mums and Dads to contribute while making a sound investment of their own. “For those looking for a reliable scheme to help their money to grow, now is proving to be a popular time to invest in property,” said Caroline. “Current prices are reasonable and medium to long-term forecasts are very promising.”
4. Headstart: This is a shared equity scheme that allows buyers to secure a home for just 85 per cent of the asking price. The remaining 15 per cent is funded through a deferred Barratt loan. And buyers don’t have to pay this until the home is sold again or in ten years, whichever is sooner.
“Another great way to start building equity in a new home – without having to fund it completely straight-away,” said Caroline. “Many buyers across the region are choosing to secure their first Barratt home this way – and we hope to help many more over the coming months.
5. Buy with a friend: There are significant benefits to funding a home in this way. Buyers can share the burden of the deposit – as well as initial costs such as legal fees, surveys and so on. Larger mortgages are often possible – so friends can help each other hop straight onto the property ladder into a bigger home. “For many, this makes perfect sense and is an excellent way to own a home for the first time.”
For further information on current availability at Festival visit: barratthomes.co.uk