top of page
Search

What Help Can First Time Buyers Receive in 2023?

Writer's picture: KnightwoodMKnightwoodM



Shared Ownership


Similarly to Help to Buy, Shared Ownership is a government scheme that allows prospective buyers to purchase a share of a property from a housing association and pay rent on the rest. As long as the share being purchased is between 25% and 75% of a home’s full market value, shared ownership could be a viable option for first-time buyers looking to purchase a home. Proportionate amounts of rent and mortgage repayments relating to the split of the ownership are paid to make the monthly payments manageable. Further shares of the home can be bought later down the line (known as staircasing) which would see the rent decrease as the landlord owns less of the overall property.


Lifetime ISA


On top of the schemes still available to help you buy a home, there are also government initiatives to help you save for one. When saving for a deposit for your first home, using a Lifetime ISA enables you to save £4,000 a year of your own money. The Government then add 25% of whatever you save for that tax year – meaning you could gain up to £1,000 extra every year. The money must then be used to either buy your first home or to fund your retirement.


First Homes Scheme


First launched in June 2021, the First Homes scheme is an initiative involving first-time buyers, key workers and local people. The scheme allows those who fit the criteria to purchase a new build property at a 30-50% discount to the market value. When said buyers eventually decide to sell, that discount is passed onto the next buyer as well to encourage a continuing chain of opportunity for first-time buyers to buy affordable homes. The scheme is still in its infancy with only a handful of developments currently available. However, with the end of Help to Buy almost upon us – First Homes could see an increase in both availability and popularity as we head into 2023 and beyond.


Deposit Unlock Scheme


The Deposit Unlock scheme allows first time buyers to access low deposit mortgage solutions. It has been developed in collaboration with mortgage lenders and the housebuilding industry, and is exclusive to new build homes. Its aim is to make buying a new home more affordable with access to competitively priced mortgages with just a 5% deposit.


Although the Help to Buy scheme is now coming to an end and there are no direct replacements as of yet, there are still initiatives in place to help you get on the ladder. If you’re considering buying your first home, contact Knightwood Mortgages today to discuss the options available to you.

14 views0 comments

Recent Posts

See All

Comments


03301 336045

12 High Street, Lyndhurst, SO43 7BD

  • Facebook
  • Twitter
  • LinkedIn

Knightwood Mortgages is an Appointed Representative of Mortgage Intelligence which is authorised and regulated by the Financial Conduct Authority under number 305330 in respect of mortgage, insurance and consumer credit mediation activities only. Knightwood Mortgage Ltd Registered address: 12 High Street, Lyndhurst, SO43 7BD, England, United Kingdom under number 13517392. 

We always aim to provide a high quality service to our customers. However, if you encounter any problems and we are unable to resolve them you can take your complaint to an independent Ombudsman. Our advice is covered under the Financial Ombudsman Service (https://www.financialombudsman.org.uk/consumer/complaints.htm).

Our Privacy Notice can be found here

bottom of page