Greatwell Homes (formerly Wellingborough Homes) and Rentplus, the leading provider of affordable rent to buy homes, are working again together to provide 32 new build homes in Northampton as an affordable pathway to homeownership for working families in the town.
Banks and building societies are demanding ever higher deposits to secure mortgages, which is unaffordable for many. Figures from the National Housing Federation show that house prices in Northampton are eight times the average salary of £28,605. Households would need an income of £52,262 to afford a standard 80% mortgage in the town, leaving many local residents unable to buy their own home.
The Rentplus scheme allows for prospective buyers to rent their home for five to 20 years at an affordable rate, whilst using that time to save towards a deposit and build good credit ratings. At the end of the agreed term, they have the opportunity to purchase, at which point, Rentplus gifts them 10% of the purchase price towards their deposit.
The 32 new build homes, located on Lancaster Way, Northampton, will soon be available to prospective buyers and will include two and three bedroom homes. Greatwell Homes are working in partnership with Rentplus, Northampton Borough Council and established local house-builder, Barry Howard Homes, on this scheme. Barry Howard Homes have been building quality homes in the East Midlands since the 1990s.
Denise Lewis, executive director at Greatwell Homes, said: “We’re excited to continue our partnership with Rentplus to provide more affordable ways for local residents to get onto the property ladder. It’s also great to be working with Northampton Borough Council and Barry Howard Homes.
It is dream of many to be able to own their own home, and we have already provided homes in partnership with Rentplus at Kingsthorpe and Earls Barton and they have proved immensely popular and I’m sure these homes on Towcester Road will be no different”.
Steven Collins, CEO at Rentplus, said: “Affordability of housing is an issue across the country, and we are so please to be able to again offer an affordable rent to buy option to make dreams become a reality in Northamptonshire.
“These much needed new homes will make a vital contribution to helping the area’s working families onto an affordable pathway to homeownership without the need for the upfront deposit”.
Barry Howard added: “Owning your own home is the ambition of the majority of people in this county and we are so pleased to be able to offer an affordable rent to buy option in Northampton to make dreams a reality for local people.”
Any aspiring homeowners looking for rent-to-buy must be working and have local links to the area. They can find more information about how to apply at www.greatwellliving.org.uk/rent-to-buy.