How affordable is “affordable” housing really? Many people feel priced out of the property market, with high prices and an income already strained by cost-of-living increases without the pressure to save for a deposit. Yet, every day, new build homes are being snapped up by first time buyers. Debbie Clark asks the important questions. What are they buying? What are they earning? And, more importantly, what incentives are they taking advantage of to make the seemingly impossible a reality?
Data from OnTheMarket (2022) shows the median average of property prices across England varies considerably, from an average property price of £250,000 in the North West to a whopping £588,500 in London.
| Region | North East | North West | East Midland | West Midlands | London | South East |
| Median Price | £254,995 | £250,000 | £303,500 | £315,000 | £588,500 | £473,000 |
While median salaries also vary, they certainly don’t reflect the property prices. Salaries – in the South East and London in particular – are seriously stretched!
| Age group | North East | North West | East Midland | West Midlands | London | South East |
| 22-29 | £23,855 | £24,073 | £24,166 | £23,723 | £31,835 | £25,713 |
| 30-39 | £26,614 | £28,596 | £26,955 | £28,842 | £40,761 | £30,877 |
| 40-49 | £27,956 | £29,420 | £29,013 | £30,648 | £40,638 | £33,096 |
Thankfully, both the Government and homebuilders are conscious of the myriad of issues buyers face. There are many national schemes you can access as a first time buyer. A great example is the Discount Market Sale (DMS), which offers buyers the opportunity to purchase a new home with a saving of up to 30% while still giving the buyer 100% of the ownership. Buyers need to live or work in one of the areas required for the scheme to be valid and meet other eligibility terms.
Developers are also getting inventive with their incentives to give you a foot up. Weston Homes, for example, is offering its unique First-time SecureBuy (FTSB) initiative on selected plots and developments. The scheme allows first time buyers to reserve a home off-plan for a £500 reservation fee, and a 5% exchange deposit. Then, six months before build completion, the buyer can apply for a mortgage. Should the value of the property increase in the time between reservation and build completion, buyers will only pay the price agreed on the day they reserved their property. The FTSB initiative can be used in conjunction with other incentives subject to the stage of construction, T&Cs apply.
Higgins Homes, renowned for quality building in London and the South East, is also responding to the needs of customers by offering a range of incentives, tailored to suit a range of scenarios. #HomesComfort is a campaign that has been specifically designed around the areas that create a barrier to homeownership for first time buyers. There is a range of bespoke, real-world incentives, with buyers encouraged to speak to advisers to discuss their particular needs to eliminate as many obstacles to homeownership as possible. Examples of incentives include a 5% deposit top-up, potentially taking the deposit from 10% to 15%, having the legal fees and Stamp Duty paid, which also adds up to a substantial expense, or the option of a Furniture Pack. #HomesComfort is being offered on The Garratt Collection, Earlsfield (020 8498 6111) and Ecole, Bermondsey (020 8498 6112).
Ultimately, homebuilders need to be able to sell their properties to make a profit, so most developments will have a range of incentives available to help buyers. If you’re not sure what they are, find out – you might be pleasantly surprised!
Developments
HAYES, WEST LONDON FROM £250,000*
*Price reflects a 20% Discount Market Sale (DMS) saving, subject to eligibility criteria. T&Cs apply
The Venue
DMS available*. Save up to £20,000** An impressive collection of 181 new homes, these beautifully finished luxury apartments are conveniently located just a six-minute walk to Hayes & Harlington station, with trains to Heathrow and London Paddington. All homes have a private balcony or terrace and access to a large central podium garden. There is allocated parking to selected plots.
Find out more weston-homes.com/the-venue/
Contact: 020 3976 8245
EALING Harrow and Wealdstone Heights FROM £81,250*
Based on a 25% share of the full market value of £325,000 Shared ownership;
This collection of 81 shared ownership homes with thoughtfully considered internal spaces is designed for modern living. All apartments benefit from a private balcony, and kitchens boast integrated appliances including a stainless steel electric oven, electric ceramic hob, fridge/freezer and integrated dishwasher. The development also features a number of eco-credentials including a ground source heat pump and solar panels for communal power lighting. Just a five-minute walk away is Harrow & Wealdstone station, from where mainline railway trains run twice an hour for London Euston and Bakerloo Line services run to Paddington and Waterloo.
Find out more: originhousingsales.co.uk/harrow-wealdstone-heights/
Contact: 0300 323 0325
GREENWICH FROM £449,995*
T&Cs apply. Price dependent on plot. Greenwich Millennium Village
Greenwich Millennium Village is situated on the Greenwich Peninsula, just one stop from Canary Wharf. This unique development offers a wide selection of high-specification one and two bedroom apartments ready to move in to. Residents benefits from a range of green open spaces including a four-acre freshwater ecology park and yacht club.
Find out more: greenwichmillenniumvillage.co.uk
Contact: 020 3884 1018
HAINAULT, LONDON FROM £294,995*
T&Cs apply. Price dependent on plot. Edge Available with a 5% deposit contribution up to a value of £22,750
Available to move into from this spring, this superb collection of one to three bedroom apartments is located on Manford Way. Edge is less than a mile from both Hainault and Grange Hill railway stations, which connect to London Liverpool Street in half an hour via the Central Line. The apartments are ideally placed adjacent to local facilities, including Tesco Express and the Post Office. The nearby Hainault Forest Country Park and Fairlop Waters offer an idyllic landscape to enjoy and explore.
Find out more: edge-hainault.co.
OLD KENT ROAD, FROM £450,000 LONDON Ruby Triangle London @ Last scheme
Sales have launched off-plan for THE BeCa at the Ruby Triangle, a £150m Manhattan-style tower, with Phase 2 homes launching this spring. They are available from Avanton with its unique triple-boost incentive, London @ Last, which promises to help Londoners secure a Zone 2 mortgage for half the price of local Zone 2 rent. The scheme firstly helps Londoners conditionally exchange with a 5% deposit on which they will receive annual interest. Secondly, contributes another 5% deposit and covers legal fees, and thirdly guarantees a 4.99% interest-only mortgage rate for one year.
Find out more thebeca.co.uk
Contact: 020 7052 5111
