Shared equity unlocks homebuyer dream
BROMFORD'S low-cost shared equity deal made the home
ownership dream come true for one young working couple at Colliers Green.
Like many 20-somethings, Dan Bailey and Kate Fry wanted to buy
because they felt it would offer them and their two-year-old son
Liam a better quality of life and a greater sense of security for
They also felt that the three years of rent they had paid to a
private landlord was "dead money".
At first, their property-buying dream seemed frustratingly out
of reach with mortgage lenders demanding huge deposits that would
take the couple many years of hard saving − and a fear that
the figure would get bigger and bigger each year at a time of
fast-rising property prices.
That gloomy prospect changed when they found out about the Help
to Buy shared equity route to home ownership, googled it − and
found our Colliers Green development at New Arley, between Nuneaton
"This was the answer to our problem. With shared equity, we were
able to buy our new Bromford home for just 80% of it purchase
price − and yet the home is 100% ours from Day One," says
22-year-old delivery driver Dan (pictured below with Kate and
"With shared equity you pay just 5% deposit and that made all
the difference for us. Lenders told us they would expect a deposit
of at least 10% plus fees − and a much higher monthly payment
than we could afford.
"We would recommend shared equity to other first-time buyers
who, like us, simply can't afford to buy on the open market. It's
an affordable way to get on the property ladder."
Partner Kate nods in agreement and looks in the direction of
their son. "We'd been talking about buying for a while having lived
in private rented housing for a couple of years," says the
22-year-old deputy manager of a day nursery.
"Home ownership gives us more security than we had as tenants,
something that we can call our own. This way we are investing in
the future for Liam − and living in a lovely, comfortable,
modern home that's so much better than anything we lived in before.
We're happy with our home − and with the shared equity
Dan and Kate also say that they pay around £60 a month LESS in
shared equity mortgage costs than they did in rent to their private
landlord. And that's not all. Early signs since their April move
suggest their utility bills will be lower too because, like all new
Bromford homes, their house has energy-efficient double glazing and
insulation as well as a new energy-efficient boiler.
Bromford Homes Head of Sales Alan Bradley says: "We're delighted
to hear that Dan and Kate are happy with their new Bromford
home − and with our low-cost shared equity deal.
"It's ideal for first-time buyers who find that open-market
property prices − and especially the deposits − are out
of their financial reach and they can't turn, like some young
buyers, to what's now widely known as the Bank of Mum &
"With shared equity, you own 100% of your new home with a 75%
mortgage − plus your 5% deposit. So you pay just 80% of the
purchase price now. No rent is payable on the other 20% and no
interest either for the first five years.
"This is what makes all the difference for first-time buyers
like Dan and Kate, what makes it possible for them to take that
first step onto the property ladder at a price they can
To find out more about shared equity at
Colliers Green and how it
could make YOUR property dream come true, call one of our expert
advisors on 0845 60 10 878 or register for updates. You can also
keep in touch by following us on Facebook and Twitter.
15 July 2014