Research has shown that first-time buyers have found the task of discovering if they qualify for affordable housing schemes a confusing matter, myfinances.co.uk has said. The Greater London Authority has done research which has shown that many people don?t feel they would qualify for affordable housing and shared equity due to earning too much.
?60,000 is the maximum income threshold for shared ownership or rent now, buy later schemes. However, 75 per cent of those eligible to take the schemes were only open to those earning under ?30,000.
The problem is that most first-time buyers feel only key workers could apply for the schemes, but don?t realise that anyone earning between ?20,000 and ?60,000 can apply for it. The Mayor of London, Boris Johnson, hopes to raise this by ?75,000 in the capital.
The lack of information is also a problem as 30 per cent don?t know where to apply or find more information.
Boris Johnson said: ?First-time buyers are being overlooked in the current housing market and bamboozled by the intermediate housing deals on offer. It is a long established and natural desire for many to own their own property but in London, with the high costs of property, it is near impossible for many to get a foot on the property ladder.?
The Department for Communities and Local Government (CLG) recently released published plans on affordable housing in rural areas. New rules will be applied to owners who have shared ownership properties in a number of protected areas.
Owners will only be allowed to buy up to 80 per cent of the equity or the housing association will have to buy back the property if the owner decides to sell. This is to ensure a supply of affordable homes in rural areas, where new properties are hard to build on.
