Property funding agency HomeNow has secured £65m of funding to broaden its rent-to-own housing mannequin.
With the cash HomeNow is focusing on constructing 800 reasonably priced rent-to-own houses within the subsequent two years.
The agency operates a two-year House Buy Plan, the place prospects are entitled to a rental refund on the finish of the interval which can be utilized as a 5% deposit for a mortgage.
Jonathan Potter, chief govt of HomeNow mentioned: “This funding represents a watershed second for UK homeownership.
“We’re serving to resolve a £200 billion market downside: 880,000 renters earn over £40,000, we will help them escape the rental lure and obtain their homeownership desires by way of a regulated, progressive strategy”.
HomeNow presently has 11,000 certified households on the ready record.
Potter added: “For the 1000’s of hardworking households caught renting and unable to avoid wasting for a deposit, there’s new hope. We all know how irritating it’s for households who do the whole lot proper however nonetheless can’t get on the property ladder.
“For fogeys, that is additionally a sensible approach to assist grown-up youngsters take their first step in direction of homeownership, while not having to reward a deposit.
“Our clear two-year mannequin flips renting on its head with truthful rents mounted for the entire interval and a portion refunded towards a deposit; no hidden charges and model new, energy-efficient houses that scale back month-to-month outgoings. Each month-to-month fee strikes you nearer to proudly owning your individual dwelling”.
