Home ownership initiatives

There are a number of schemes available to those on low incomes who cannot afford to buy a property on the open market. The Council runs the New Build Homebuy scheme in partnership with Housing Associations. New Build Homebuy, First Time Buyers Initiative and Open Market Homebuy are all available through the Housing Options programme which is facilliated by Tower Homes.

In cases where a homes are to be purchased applicants should be able to demonstrate their mortgage capability and have the savings to cover all costs.

Homebuy schemes

New Build Homebuy (formerly known as Shared Ownership)

New Build Homebuy, formerly known as Shared Ownership, was introduced to help people who cannot afford to buy a home outright.

Through this scheme you buy a share of a property and pay rent on the remaining share that you do not own. The size of the share you purchased will depend on your income and savings. Normally applicants buy a 50% share but you may purchase as little as 25% or as much as 75%. Gradually, you can buy further shares and eventually own your home outright, which is called “stair-casing”.

Priority is given to existing Local Authority and Housing Association tenants, followed by high priority cases on Local Authority waiting lists and key workers.

It is essential that you have applied to the Richmond Housing Register which can be done by contacting Sue Hollingshead by telphone on 020 8831 6444. Full eligibility criteria can be found on the Housing Options website.

At present, New Build Homebuy schemes are available only to current residents of the borough and to those who can demonstrate a relevant connection with Richmond upon Thames, for example, working within the borough.

My Choice Homebuy

This is a government funded, low-cost homeownership product that enables eligible applicants to choose and purchase a home of their own on the open market with the help of a flexible equity loan:

• You are free to raise your mortgage with any high street bank or building society (we will not allow adverse credit lenders)
• On top of your mortgage you will receive a government equity loan for up to 50% of the purchase price
• Any savings or contribution from family/friends above £10,000 can be used to “top up” your purchase price without affecting your government equity loan.
• There is a low monthly charge on the MyChoiceHomeBuy of 1.75% which will increase by RPI plus 1% anually.

You will need to repay all equity loans if you sell the property.

Please note applicants will be set individual maximum price limits based on their own financial status.

Social Homebuy

Housing Association tenants can buy their home on a part-buy part-rent basis, and receive a discount on the initial purchase price. This scheme is called Social HomeBuy and the eligibility levels are usually set up by your Housing Association. It is not a statutory scheme and not all landlords will currently be offering this assistance.

Find out if your landlord is offering Social Homebuy(pdf, 496KB).

First Time Buyers Initiative

This scheme enables first time buyers, who cannot otherwise afford to buy a new home, to purchase a new property with an affordable mortgage and Government assistance (minimum £25,001) on a designated FTBI development.

When owners sell their FTBI home, they will repay the Governments contribution through a share of the sale proceeds. So if the Government initially assisted the purchase with a 25% contribution, the repayment will be 25% of the total value when sold. This scheme is considered to be a 'stepping stone' to assist people into full home ownership.

If you are interested in applying for any of the above schemes, please visit the Housing Options website.

When you visit this website you will be able to make a free application and get further information about whether you are eligible to apply for the schemes. This service has been designed so that anyone looking for an affordable home in London will be able to access information about all of the current options available.

Richmond’s allocated Zone Agent, Tower Homes, currently deals with all applications for Key Worker and affordable homes through the Housing Options programme.

Enquires and Application Team
Tower Homes Ltd
70 Court Road
Eltham
SE9 5NP

Telephone: 020 8294 5000
Email: eateam@lqgroup.org.uk
Fax: 020 8294 0507