Open Market HomeBuy

New Build HomeBuy Open Market HomeBuy Social HomeBuy First Time Buyer London Wide

In October 2006 the Government re-launched the old key worker programme as Open Market HomeBuy.

Open Market HomeBuy is a scheme that aims to help certain groups of people who cannot otherwise afford to buy a home on the open market without assistance. The scheme provides access to additional money called equity loans, which run alongside a conventional mortgage.

Two equity loans, each worth around 12.5% of the value of your new home are provided:

• the first is provided by the lender that you select to provide your conventional mortgage; and
• the second is provided by the government and administered by the HomeBuy agent - a housing association in England that has been appointed to operate the scheme.

No interest is charged on either of the equity loans for the first five years and you will never be charged interest or need to make monthly payments on the HomeBuy agent's equity loan. However the amount you will have to repay the lender and the HomeBuy agent will be linked to the value of your home at the time you sell, plus a redemption fee where this is levied.

For further information we would refer you to both the government brochure and the Financial Services Authority brochure, which are available upon request from the HomeBuy Agent handling you enquiry.

Before deciding to buy a property it is strongly recommended that you talk to one of our specialist mortgage consultants to get a clear idea of some of the costs of home ownership.