PKC offering a leg up for house buyers
First time and lower income boost
Perth and Kinross Council is offering people struggling to get on the housing ladder the opportunity to buy a brand new house at an affordable price.
Two-bedroom properties built by Persimmon Homes at Weaver’s Loan in Kinross are being made exclusively available to first time buyers as well as those on moderate incomes through the council’s shared equity home ownership scheme.
The scheme works where the council can secure housing units at a discounted price from developers in compliance with their obligation to provide a level of affordable housing in any new developments.
For example, a one bedroom shared equity unit with a market value of £100,000 in a new development can be secured by the council for £70,000.
Under the shared equity scheme the purchaser would pay £70,000 for the property, take full title to the property and retain 70 per cent of the equity in the home. The council would retain the remaining 30 per cent equity balance share.
After four years property owners will be given the chance to buy out the council’s equity share, so that they own the property 100 per cent. If a property is sold while the council still holds equity, the council will have a chance to buy it at open market value, discounted by the council’s equity share.
People eligible to buy a home under the scheme are:
•First time buyers (or those with a significant change in household circumstances, or someone who is disabled and owns a house that no longer suits their needs)
•People on a moderate income – people who can demonstrate their gross annual income is insufficient to purchase a property to meet their needs unaided on the open market.
For more information on how to apply for the shared equity home ownership scheme email Lorraine. Clelland@persimmonhomes.com or call 07912 667934.
For more information on the shared equity home ownership scheme contact PKC’s affordable housing enabler Campbell Hall on 01738 476405 or Chall@pkc.gov.uk
After four years property owners will be given the chance to buy out the council’s equity share