Non Standard Mortgages - Shared Ownership
The Homebuy Scheme
The Homebuy scheme enables tenants of Registered Social
Landlords (RSLs) and local authorities, as well as others
in priority need on local authority waiting lists, to purchase
a home on the open market with the help of an interest free
equity loan from the RSLs equal to 25% of the purchase price,
subject to certain limits. The applicant funds the remaining
75 through a conventional mortgage and savings.
The loan to cover 25% of the purchase price of a home
does not involve the purchaser in making monthly payments.
It is normally paid back when the property is sold instead
and the amount to be repaid will equal 25% of the value
of the property at the time it is sold. However, you can
choose to pay back all or part of the Homebuy loan at any
point, with a revaluation of the property deciding how much
you currently owe. There are several things to note about
the Homebuy scheme:
