The "rent now, buy later" scheme targets first time buyers
Good times are here for first time buyers with another scheme that may give you the option to makes your first steps onto the property ladder.
The government is piloting the "rent first, buy later" scheme to first time buyers in England with household earnings of under £60,000.
In essence the scheme gives first time buyers the opportunity to rent the property at a discounted rate for 2-3 years with an option to buy part of it.
This process enables first time buyers to rent at approximately 80% or less of the going rate in order to save up a deposit so they have the option to buy 25% or more of the property at any time after the initial 2-3 years.
House builders are also being hit by the credit crunch and the state of the housing market, rendering them unable to sell new homes or to finish new builds.
This new scheme could see the government buying unsold stock from house builders for affordable homes and provide a welcome relief for all concerned.