Fri 27th Apr, 2007
Alternatives to Homeownership
Many adults are dismissing the idea of owning their own home - despite the growing number of affordable ownership schemes available in the UK. This is a disturbing trend, as potential homeowners are paying ridiculously high rents, far in excess of a mortgage, in some areas of the UK.
Research commissioned by the East Thames Housing Association states that 60 per cent of renters are unaware that schemes have been set up to help them buy a home.
A quarter of UK adults believed that shared ownership was only an option for key workers, whilst one in ten believe the schemes are only available to the unemployed or disabled.
Kate Worley of East Homes, part of the East Thames Group said: “Our survey showed that too few people understood what shared ownership meant.
“Either that or they don’t realise it’s available to a wider selection of people than they might think. If someone has a regular income but can’t afford to buy a home locally with the help of a mortgage, then New Build HomeBuy could be for them,” she added.
New Build HomeBuy refers to the scheme previously known as shared ownership.
The scheme allows tenants to buy part and rent part of a property. The tenant has the opportunity to buy more of the property as they are able to afford it. This can be an affordable alternative to may young families.
While many homeowners are afraid of sharing a home with friends or family, with just cause, the programs like New Build HomeBuy do not share the home with an individual, but with a corporation.