South Hams council is offering a helping hand to residents as part of the Better Homes, Better Lives strategy.
The council are offering one off payments of up to £5,000 for those wanting to put down a deposit on a shared ownership home.
The scheme is aimed at social housing tenants in an attempt to help free up social housing.
If you are eligible for the scheme and your application is accepted funds will be held for up to three months, allowing you to proceed with your property purchase.
For example:
A 3-bedroom home in Sherford is selling for £260,000.
Shared ownership can be between 20 per cent to 75 per cent of the home’s value.
For a 30 per cent shared ownership it would cost £78,000.
Therefore, a 5 per cent deposit of your share of the property is £3,900.
In order to be eligible for the scheme you must meet the following conditions:
• An existing Housing Association tenant on an assured tenancy.
• Resident in the South Hams’ District area for the last three years.
• Not in any rent arrears or be in breach of any term of their current tenancy
agreement at the time of application.
• A tenant where the Housing Association landlord confirms that the nomination rights
for the property being vacated will be given to South Hams District Council.
• Registered on the Help to Buy Register, a Housing Association waiting list or Devon
Home Choice.
• In employment and earn at least £15,000 per year (If applicants earn less than
£15,000 a year it is unlikely that they will have sufficient income to buy a property
through low-cost home ownership schemes, if they have extra financial resources
such as an inheritance or redundancy pay out it will be expected that they use these
funds rather than the Step On Scheme, however in exceptional circumstances it may
be appropriate to apply to the Step On Scheme).
• Not in receipt of a household income which exceeds £80,000 a year.
• Over18years of age to be eligible for any shared ownership schemes. You cannot be
included on the Help to Buy Register if you are under this age.
• Able to provide evidence of a mortgage in principle agreement.
• Able to provide supporting financial information to the Council for a decision to be
determined. This will include evidence of savings, bank statements, income details and other such financial records.
• Able to provide evidence that they can afford the initial costs associated with buying a property.
This will be on top of any deposit that a mortgage lender may require and includes
• expenses such as:
• solicitor’s fees
• land registry fee
• survey
To Apply or to find out more information visit: www.southhams.gov.uk/step-on