How much does HomeBuy cost?
Each HomeBuy scheme is different and costs will vary, however, the costs below outline the main expenses of assisted home ownership:
Initial Costs: you will need to have access to funds to pay costs involved in purchasing your new home, these can include
Long term commitments: you will then need to be able to afford the following each month:
Your responsibility will be the same as those of any home owner. You will be responsible for repairs and maintenance and for decoration. There will sometimes be a service charge to pay for the maintenance of common areas.
Other costs you should consider are:
How do South West Homes calculate the amount I can afford?
We use two calculations depending on which type of HomeBuy product you decide to buy. If you decide to buy on a shared ownership basis the prescribed mortgage amount we set will be less as you will need to pay rent to a Housing Association in addition to your mortgage payment.
The Homes and Communities Agency requires us to have in place an affordability assessment designed to ensure you maximise your borrowing potential. We are therefore required to use the Homes and Communities Agencys affordability toolkit and calculator. You should bear in mind that the amount we set is sometimes less than the amount that a mortgage lender would offer you as we are looking at long term affordability.
Do I have to apply to find out how much I can afford?
We recommend you make an application so that we can carry out an assessment of your financial circumstances and set a realistic prescribed mortgage amount.