The Help to Buy ISA launches today (December 1). The tax-free savings account is available to people saving for a deposit on their first home.
First-time buyers can save £200 each month, up to a maximum of £12,000, and the government will provide a 25% bonus on the interest and contributions, up to a maximum of £3,000, when the saver purchases a property.
Dave Bexon, Group sales and marketing director for Redrow Homes, said: “We welcome today’s launch of the Help to Buy ISA.
“Raising a deposit is regularly cited as one of the biggest barriers to home ownership for young people. This pioneering scheme should encourage a generation of renters to save for a down payment on a home, with the knowledge that the hard-earned money they set aside will be topped up with a contribution from the Government.
“We’re confident this assistance will encourage more would-be homeowners into the market which, longer term, is also key to helping to stimulate movement at all levels of the market.
“Meanwhile, Help to Buy equity loans continue to provide a valuable boost to purchasers of new build homes, enabling people to buy with just a 5% deposit thanks to an equity loan of 20% from the Government, which is interest free for five years.”
Mortgage advisor Andrew Mannion, of RSC New Homes, one of several mortgage experts who offer advice to Redrow purchasers, also welcomed the introduction, adding: “We feel that this scheme will be useful as it will boost a customer’s deposit which, in turn, will enable them to access more affordable and competitive interest rates.”
For more information on the Help to Buy ISA visit www.helptobuy.gov.uk/help-to-buy-isa/how-does-it-work
To find out more about the homes Redrow is building see www.redrow.co.uk
Established more than 40 years, Redrow Homes is one of the UK’s leading house builders, with a £1billion turnover and building more than 4,000 homes in 2014/15 financial year.
Operating across England and Wales, there is a strong emphasis on providing high quality homes in prime locations and its housing ranges feature designs to suit all lifestyles:
• The Heritage Collection combines traditional looking, ‘Arts & Crafts’ influenced exteriors with bright, modern, high specification interiors.
• The classically styled Regent Collection features Georgian inspired street scenes and architecture.
• Redrow has also launched a new brand of contemporary homes in Abode, which boast open plan layouts with streamlined kitchen, dining and lounge areas, high specification wet rooms and outdoor living space.
Redrow also creates exclusive bespoke developments in both rural and urban locations. The company has won numerous awards over the years, including, most recently, the Gold Award for Best Large Housebuilder at the What House? Awards 2015 and 2014, Best House Design at the Sunday Times British Home Awards 2015, the 2014 Building Awards Housebuilder of the Year and five consecutive 5* awards in the Home Builder Federation (HBF) annual customer satisfaction survey. Its ‘My Redrow’ online tool won the overall Customer Engagement category at the 2013 Peer Awards for Excellence. Web: www.redrow.co.uk