Affordable Homes in London

FIRST STEPS Buy

FIRST STEPS Shared Ownership is the main low cost home ownership product available in London.

With FIRST STEPS Shared Ownership, you buy a share in a new or existing shared ownership home, starting at 25% of the full market value of the home, and pay a rent, which is initially capped at a maximum of 3%, on the part owned by the developer. If you buy an apartment, you will also have to pay a service charge to the developer to cover the cost of maintenance to communal areas and the grounds of your building.

You will need to have savings to cover any deposit required by your mortgage lender and the costs involved in moving.

FIRST STEPS Equity Loans

FirstBuy

FirstBuy is an equity loan product which gives you the opportunity to buy a new home with the help of up to 20% of the full purchase price. The FirstBuy equity loan will be interest free for the first five years with a charge payable from year six. FirstBuy is available from summer 2011 at developments across London from a range of developers building homes in the capital.

HomeBuy Direct

With HomeBuy Direct, you can buy a newly built home on a designated selected development with the help of an equity loan. Your mortgage, savings and any deposit required must fund a minimum of 70% of the total purchase price; the remainder will be paid for with an equity loan of up to 30% of the total purchase price. HomeBuy Direct is a past product, but there are still a handful of HomeBuy Direct developments which will be made available in London this year.

Other Options

There are also a range of other options to help you take your FIRST STEPS to home ownership in London.

Click here for other options to FIRST STEPS Buy, including the Armed Forces Home Ownership Scheme, Older People’s Shared Ownership, Home Ownership for people with Long-term Disabilities (HOLD).

Information on past products can be found by clicking here.