23 March, 2011
Forbes Solicitors Conveyancing Team are welcoming the assisted deposit scheme announced in today's budget as a much needed boost to the property market in Lancashire.
The Government has confirmed that it will provide a £250m assisted deposit scheme to first time buyers to purchase newly built flats and houses. The Government together with home builders will offer a loan which is interest free for the first five years for up to 20% of the value of the property in order to provide the deposit needed to buy a first home.
The Loan is only repayable when the property is sold and the buyer will only have to provide 5% of the value of the property towards the deposit. This will mean that a first time buyer needing a 25% deposit on a £150,000 home will have to save £7,500 as opposed to £37,500. The scheme is available to first time buyers who have a joint income of less than £60,000 looking to buy a new build property.
Nicola Beneduce, Conveyancing Solicitor comments, "At Forbes we have seen clients struggling to get the deposit together for their first home and this scheme will help people significantly. Not only will this help first time buyers but it will help unlock the lower end of the property market and generate more transactions throughout the property chain in the long-term, giving the property market the long awaited boost which it has needed."