Government Help to Buy Scheme

[fergie128]

Hi all,

The Government Help to Buy Scheme states that you must be buying a new property to qualify.

My question is, what qualifies as a new build? Is there a certain number of years until which a house is classed as still a new build? For example, build within the past year and never previously owned?

Might sound like a silly question but thanks in advance!

 

[mollymoo]

I don't know the answer but you would have thought a new build would be bought off the people who built the house.

 

[Glaucus]

New build = from the developer, so brand spanking new. No second hand houses.

But there's two schemes, the other which just started is for any house under 600k

 

[Hyburnate]

4. NewBuy

NewBuy lets you buy a newly built home with a deposit of only 5% of the purchase price.
Eligibility

To be eligible for NewBuy, your new home must be:

a new build – being sold for the first time or for the first time in its current form (eg a new flat that used to be part of a house)
priced £500,000 or less
your main home (you can’t use NewBuy to buy a second home or a buy-to-let property)
owned fully by you (you can’t use NewBuy for shared ownership or shared equity purchases)
built by a builder taking part in the scheme

To be eligibile you must be either:

a UK citizen
someone with the right to remain indefinitely in the UK

You don’t have to be a first-time buyer and there’s no limit on your level of income. But you can’t use NewBuy with any other publicly funded mortgage scheme.

https://www.gov.uk/affordable-home-ownership-schemes/newbuy

Learn to Google. It's quicker.

 

[fergie128]

I must have completely missed that!

Thanks all.

 

[The_Baron]

Government's dumbest idea.

 

[mame]

someone with the right to remain indefinitely in the UK

well that rules out ... errm. no one

 

[Ilikeitblackplease]

well that rules out ... errm. no one

all for there mates to make money, MPs should be shot for doing this, it just makes it harder for the rest to acquire property later.

 

[pitchfork]

New build = A brand spanking new cardboard box on an packed estate selling for 10's of thousands of pounds more than it's worth that will drop you into negative equity, that a certain percentage must be social housing which usually means less than desirable people in your neighbourhood and to be honest a giant waste of money, you might as well rent, but people are dim and easily led by the fact they look like a tacky ikea catalogue inside meaning they don't have to think about interior decor and the idea of "owning a house at any cost".

Yet another way the government is putting money into the pockets of people who already have too much sodding money.

 

[scorza]

Thing I don't get is this notion that it's somehow hard to to save for a deposit and that's what is depressing the housing market. In my experience saving for a deposit is a doddle, what's hard is earning a salary that'll let you take out a big enough mortgage.

For example, new housing estate near me where the show room has just opened. Nothing special 3 bed properties starting at £370k, let's say you have a decent deposit so need a mortgage for £300k, you'd realistically need a salary of £75k a year which is miles over the average even in an affluent area like mine. Again this is just an average estate as far as I can see - nothing special about it.

Problem is, people would like to be sensible and not burden themselves with massive mortgages but what choice do you have? People have to live somewhere and house prices look set to rise over the next few years. Maybe it's a case of if you can't beat 'em - join 'em.

 

[Kemik]

For example, new housing estate near me where the show room has just opened. Nothing special 3 bed properties starting at £370k, let's say you have a decent deposit so need a mortgage for £300k, you'd realistically need a salary of £75k a year which is miles over the average even in an affluent area like mine. Again this is just an average estate as far as I can see - nothing special about it.

Saving a £70k deposit on a household salary of say, £80k a year, would take four years with few to no holidays. That's pretty difficult considering most households probably don't bring in anywhere near £80k and most first time buyers are unlikely to be married.

An individual living in a house share with £40k a year salary could save about £1k a month with a cheap car and no holidays.

 

[nick.lidgett]

New build = A brand spanking new cardboard box on an packed estate selling for 10's of thousands of pounds more than it's worth that will drop you into negative equity, that a certain percentage must be social housing which usually means less than desirable people in your neighbourhood and to be honest a giant waste of money, you might as well rent, but people are dim and easily led by the fact they look like a tacky ikea catalogue inside meaning they don't have to think about interior decor and the idea of "owning a house at any cost".

Yet another way the government is putting money into the pockets of people who already have too much sodding money.

On the flip side the government are helping to keep the building industry ticking over, keeping thousands of tradesmen in work.
As for having social housing on the same street as you, well i live on an avenue thats all private ownership and there are plenty of ******s living here to.
If people like shiney new houses, with poor build quality and want to pay over the odds then good luck to them, its not something you should worry yourself about.

All the first time buyers who cant get on the ladder cry and moan, when they finally get something in the way of help, they cry and moan some more, i dont get it, what exactly do they want?

I didnt get any help from the government to buy my house, i bought when prices were high and 7 years later i might just be in equity, but if i sold tomorrow it would be like starting from scratch.

Everyone moans about the government interfering in their lives and the government should just consentrate on running the country and leave them alone and this is a great idea until they want something they feel they are entitled to.

My advice to would be first time buyers is get a second job i a bar or something and save like a *******, work 60, 70, 80 hours a week and dont stop. Thats what me and my wife had to do and we regulary work over 60 hours a week now, only taking sundays off from work.
Buying a house isnt easy and keeping hold of it isnt much easier either.

 

[scorza]

Saving a £70k deposit on a household salary of say, £80k a year, would take four years with few to no holidays. That's pretty difficult considering most households probably don't bring in anywhere near £80k and most first time buyers are unlikely to be married.

An individual living in a house share with £40k a year salary could save about £1k a month with a cheap car and no holidays.

Strange logic there, claiming that someone earning £80k a year can save 22% of their salary while someone earning half that can save 30% of their salary. The generally accepted wisdom is that the more you earn the easier it is to save.

 

[krooton]

Strange logic there, claiming that someone earning £80k a year can save 22% of their salary while someone earning half that can save 30% of their salary. The generally accepted wisdom is that the more you earn the easier it is to save.

£80k household salary = 2 earners.

 

[Jano]

No social housing on the development I'm on, and that was through help to buy. Not packed in, not losing value, and certainly won't look like an Ikea catalogue by the time I'm done with it.

 

[Glaucus]

No social housing on the development I'm on, and that was through help to buy. Not packed in, not losing value, and certainly won't look like an Ikea catalogue by the time I'm done with it.

Then your luc ky, i am hobsmacked that they manage to sell them in bristol. Extra 300k for two bed flat no garden, tiny, crap construction. Would rather save that 20-30k and buy a ex council house, with massive garden, been kept upto code so has all the insulation etc and not in a council estate, all the new builds are now heavily council estate.

 

[Jano]

On a side note, without the help to buy scheme we would have had to find something like £50k for a deposit to make the mortgage affordable, which is pretty much our joint annual salary's, and we would still have only managed to get a two bed house.

Ridiculously expensive down here

 

[krooton]

Then your luc ky, i am hobsmacked that they manage to sell them in bristol. Extra 300k for two bed flat no garden, tiny, crap construction. Would rather save that 20-30k and buy a ex council house, with massive garden, been kept upto code so has all the insulation etc and not in a council estate, all the new builds are now heavily council estate.

If x amount of properties will exist on the estate, y% needs to be assigned for social housing.

Some developers specifically build estates just below that x threshold to avoid it.

 

[Mikoyan]

dumb question alert, if you already own a house sell it and basically have no house/mortgage.

Can you still use the new buyers scheme?

 

[nick.lidgett]

dumb question alert, if you already own a house sell it and basically have no house/mortgage.

Can you still use the new buyers scheme?

I doubt it but I guess there would be a loop hole.

Maybe if only one persons name is on the mortgage/deeds then the other partner could try and pull a fast one? I dunno just a guess