Boost for builders and first time buyers
Housing projects worth over £2.5 million that will help first time buyers get a step on the property ladder, have been given the go ahead, Housing Minister Keith Brown announced today.
The New Supply Shared Equity with Developers scheme involves participating house builders taking equity stakes jointly with the Scottish Government in new homes.
The scheme will deliver around 130 new houses as part of 27 housing developments across 13 council areas and will assist people on low to moderate incomes to buy a new shared-equity home.
A call to house builders was made in April to apply to the Government initiative to supply more affordable homes.
Buyers who successfully apply to use shared equity under this scheme can purchase a home from a private developer, by paying for a majority share in it, with the remainder of the cost split equally between the Scottish Government and the developer.
Keith Brown said:
“There was a positive response from housing developers to this scheme, which will continue to help the housing industry which is struggling to sell homes in the current economic climate.
“It also offers good value for money for taxpayers and allows people who would not otherwise be able to afford to buy their own home, get on the housing ladder.
“This scheme plays a part in delivering at least 30,000 affordable homes over the course of this parliament. We are also helping people overcome the need for high deposits through our mortgage indemnity scheme, which will launch in the near future.”
NSSE with Developers scheme 2012/13