As part of the development of a site in Gloucester in 2012 we offered three homes on a Rent to Buy basis. The homes were let at 80% of market rent levels to residents who were likely to be able to obtain a mortgage in future but had not been able to save a deposit due to high housing costs. The lower rent charge was designed to help residents save a deposit to purchase the property over their 5-year tenancy.
We are really pleased that the first of the families has now been able to purchase their home and take their first steps on the property ladder.
The family of three had the option of buying a share in the property through shared ownership but in this case they were able to buy their home outright, with the help of a standard mortgage.
Although no new Rent to Buy properties are being built, the income generated from the sale will be used to provide more opportunities for home ownership through similar schemes.
As well as being great news for the family themselves, we at Elim are very pleased that our commitment to offering a range of options for people at different life stages really is encouraging independence and helping people to realise their home ownership aspirations.