Schemes for First Time Buyers

In today’s economy, there aren’t many people who can afford to buy a new home. And if it’s your first time buying, your chances of finding something you can afford yourself are dropped to an all new level: purchasing your first home is one of the most costly expenses you’ll ever come across, and nowadays not many people can do it without help.

However, for this exact reason many people in the UK are turning to different schemes for help in buying their first home. There are many different schemes out there that will aid you in making your first grand purchase, and these can go a long way towards making the first few years spent in your new home very happy ones. Each of the several schemes are pretty different, and it’s wise to spend some time researching each one so you know what you’re signing up for should you choose to apply. In England, schemes called Homebuy are available from the government that can help you purchase your home by offering you a loan towards the property’s purchase price that incurs no fees for the first five years or that allow you to buy a share of your home instead of the full amount, following which you pay rent on the remaining price. For those who cannot afford the scheme, another is available where you can move into the home and pay a reduced rent for five years, thus allowing you to save up the cash required for the deposit so you can then pay for the deposit for a share when you’re more financially secure.

In Scotland, the LIFT scheme helps people buy homes on a shared ownership basis, which is similar to the scheme detailed above, and also a shared equity scheme where you buy a share of the home and the rest is owned by the Scottish government. While you own the home outright, should you choose to sell your home in the future, the government will receive payment of the value of their percentage of the home.

Researching different first time buyer schemes is crucial to your hunt for a first home, and you will find the perfect plan for you. Just don’t forget in all the excitement of moving into your new place to purchase the right type of home insurance so you can ensure that your home and your assets remain protect at all times. Good luck during your hunt and enjoy many happy years in your new home!

Jennifer is a part of the digital blogging team at cashzilla.co.uk who work with brands like Confused.com. For more information about me, or to keep up to date with the latest in finance news, check out my posts at cashzilla.co.uk or visit my Twitter account, @cashzilla.