What is New Build Homebuy?

New Build HomeBuy helps people who can’t afford to buy a home outright on the open market. You buy a share of the property and the Registered Social Landlord that we work in partnership with, owns the remaining share for which you pay a monthly subsidised rent. The home that you buy is a Leasehold property and the share of the property is mortgaged in the same way as someone who buys their home.

Your initial purchase must be a share of between 25% - 75%, although this can vary from development to development. Once you have bought the initial share in your home you may find that your financial situation changes and you can afford to buy more shares. This process is known as 'staircasing' and allows you to acquire up to 100% of the equity in your home and become an outright owner.

Each time you want to buy more shares, the property is valued and you buy the share at the current market value. Each time you staircase, you must buy at least 10%. As you own more shares in the property, the subsidised rent you pay normally decreases.

You should aim to buy as much of the property as you can comfortably afford without straining your financial position. At Censeo, we will help you complete a budget planner, taking into account your living costs, such as your anticipated mortgage, the rent payable to your landlord, service charges, maintenance and your other outgoings.

Alternatively, you may want to sell rather than increasing your share so Genesishomes will usually find a buyer for you.  Your share will be sold at the full, open market value so you would benefit from any equity build up if house prices have increased.

Do remember that house prices may go down as well as up and this means that you might have to pay more when increasing your share in the property, or, sell at price lower than you originally paid.

Next: Am I Eligible?

• What is New Build Homebuy?
• Am I Eligible?
• How do I apply?