Frequently Asked Questions
Q: Am I eligible for HomeBuy?
A: Please click here to find out more.
Q: How much will home ownership cost me?
A: You will need access to an amount of savings to cover the initial costs of buying a property. This amount varies but is likely to be around £3,500 or £4,000 - your local HomeBuy Agent will tell you exactly how much is required. The initial costs include the cost of the mortgage valuation or survey, solicitors' fees, and stamp duty. You may also need to cover the costs of removals, connection charges for phones, and so on. In most cases you will need additional savings to pay a deposit towards your mortgage.
Q: Will I need a deposit to get a mortgage?
A: In the current economic climate, if you can fund a deposit towards your mortgage you are more likely to obtain a mortgage offer and a more attractive interest rate. You should aim for at least a 10% deposit. The amount that this equates to is based on the value of the share you are buying, for example a 10% deposit on a 25% share of a property valued at £150,000 is £3,750, not £15,000.
Q: I am unsure whether to buy now or wait until the credit crunch is over. What should I do?
A: This decision is your own. It is an important decision and you should consider all the factors carefully, including your housing need. You should also obtain independent financial advice and appoint a solicitor to advise you over your purchase.
Q: What happens in areas where there are more applications than available housing?
A: If you apply for a property or funding where more than one person is interested, the housing association will assess applicants according to their own policies. In some cases, certain groups of people, eg, housing association tenants and council tenants, or M.O.D. workers, may be prioritised.