Save on housing costs by buying in Shropshire with Help to Buy
It's well-documented that buying beats renting and with Help to Buy making new-build homes easier to afford people in Shropshire are being asked why rent when you can buy?
The Government-backed scheme is only available on brand new homes, including all of those being built by Redrow at The Coppice in Leegomery and Aston Fields in Shifnal.
With latest figures from the English Housing Survey suggesting that tenants pay a significantly higher proportion of their earnings on housing than those buying with a mortgage,* it’s perhaps unsurprising that people are keen to purchase.
Pauline Turnbull, sales director for Redrow Homes (Midlands), says: “Increasingly people are recognising that buying can not only be more cost effective than renting, but that it has wider benefits too. Anecdotal evidence from our customers at The Coppice and Aston Fields, where many people have used Help to Buy to make that crucial first step onto the housing ladder, is that their monthly mortgage repayments are lower than the equivalent rent they’d expect to pay for a similar sized property.
“Our homeowners say that by buying they’ve not only been able to save money, but they’re investing in their future rather than spending their hard earned cash paying someone else’s mortgage. They also tell us that it gives them greater freedom – they can choose the finish of their property and don’t have to ask the landlord’s permission before decorating or bringing home a pet. Plus, because they own the property it’s their choice if they want to move in future – they won’t have to worry about being forced to relocate if the landlord suddenly wants to sell.”
Someone buying using Help to Buy should only need a 5% deposit plus a 75% mortgage from a lender of choice to purchase their new home. The remaining 20% is covered by the equity loan from the Government, which is interest free for five years.
For example, a three-bedroom Letchworth style property priced at £194,995 could be purchased for an initial outlay of £155,996 with Help to Buy. The lower price includes a deposit of £9,750 (5%) plus a mortgage for £146,246 (75%) with the equity loan covering the balance of £38,999 (20%).
“The Letchworth three-bedroom semi is available at both Aston Fields and The Coppice and makes a fantastic first home,” Pauline adds.
“As with all of our Heritage Collection homes, it looks very traditional from the outside, but inside it’s designed with modern living in mind. On the ground floor there’s a spacious lounge to the front, open plan kitchen and dining room to the rear with patio doors onto the garden, plus a convenient cloakroom. Upstairs, the master bedroom benefits from an en-suite, leaving the family bathroom to serve the remaining two bedrooms.”
The Coppice on Okehampton Road, in an established residential area, offers a choice of three-bedroom homes with a woodland walk forming part of the development.
Over at Aston Fields, current availability includes three and four-bedroom homes.
Located on Aston Road, the development is ideally situated between Shifnal’s main shopping area of Bradford Street and the Shropshire countryside, with good local schools nearby.
* On average, those buying their home with a mortgage spent 18% of their household income on mortgage payments whereas rent payments were 28% of household income for social renters and 35% of household income for private renters
Redrow was established in 1974. Today, it is one of the most successful and acclaimed property developers in the UK, building around 5,000 premium quality family homes a year in prime locations across England and Wales. Over Redrow’s history spanning more than 40 years, it has earned a unique reputation for quality and building beautiful homes, which people love to live in. To help achieve this it also focusses on two other key areas: valuing people and creating outstanding locations. Implementing its strategy whilst engaging with colleagues and stakeholders helps Redrow deliver significant value to investors and the wider community. Redrow is listed on the London Stock Exchange and is a constituent of the FTSE 250 index. For the year ended 30th June 2016, the Group reported record revenues of £1.38 billion. Redrow has been awarded the ‘Best Large Housebuilder’ title twice in the last three years at the What House? Awards. This year, Redrow was named as a UK Top 100 Apprenticeship Employer for the fourth consecutive year. Visit redrow.co.uk for more details.