Buying process

Our trusted sales team are on hand to guide you through the buying process.

 

    A more affordable way to buy your new home. If the cost of purchasing a home is out of reach, you can purchase a share (usually between 25% and 75% of the property price) and pay rent to Raven on the remaining share you don’t own.

    You will have to pay a management fee and any service charges as if you owned the property outright.

    There are criteria which you will need to meet which include:

    • You must be at least 18 years old
    • Outside of London your annual household income must be less than £80,000 (less than £90,000 in London)
    • You will probably be a first time buyer, but if you do own a property this must be under offer and you should be able to demonstrate why it’s no longer suitable
    • You cannot afford to buy a home suitable for you on the open market
    • You must be able to demonstrate that you can afford the payments and costs involved in buying a home
    • You will need savings sufficient to cover your deposit, legal fees and moving costs.

     

    No, through Shared Ownership you can purchase an older home through Resales.

    Resales are homes that our existing customers purchased through shared ownership which are now being offered for sale. The process is the same as buying with shared ownership but you will have to buy the same percentage share as the seller owns. Although you can you buy more if you can afford to.

    The government lends you up to 20% of the cost of your newly built home.

    You pay a deposit of 5% or more and arrange a mortgage of 25% or more to make up the rest.

    You won’t be charged interest on the 20% loan for the first five years of owning your home. After 5 years, you’ll pay an interest fee of 1.75% which will rise each year (in April) thereafter by the Retail Index Price plus 1% until you repay your loan.

    Although you won’t pay interest on the equity loan for the first five years, you will however pay a monthly management fee of £1 by direct debit.

    You can choose to pay off your equity loan any time, in full or in 10% chunks before the end of the loan period.

    The amount you borrow is a percentage of the value of your new home so the amount you pay back is the same percentage of the value of your home.

    This means, if the value of your home rises, so does the amount you owe on your equity loan. It works both ways, so if the value of your home falls, the amount you owe on your loan falls too.

    You only need to repay the equity loan in full when you:

    • pay off your mortgage
    • sell your home
    • come to the end of your equity loan term.

    Please contact our Sales Team who will be able to guide you through the home buying process. You will
    be required to complete an initial affordability check with a Financial Advisor to establish that you can
    meet the costs involved without overcommitting yourself financially.

    Contact  the Raven Homes Sales Team at sales@ravenhomes.co.uk or call 0300 303 3835.