Exclusive Shared Ownership mortgage to help first time buyers

1 April 2010

Shared Ownership provides an ideal solution for first time buyers who struggle to save the sizeable deposit required for traditional home ownership. In a first for the region, Ipswich Building Society has teamed up with Flagship Housing Group, Orwell Housing Association and Bedfordshire Pilgrims Housing Association (bpha) to offer an exclusive new shared ownership mortgage which will help more people take up the shared ownership option and get a foot on the housing ladder.

Under Shared Ownership, the purchaser buys part of the home and then pays a subsidised rent on the rest to the housing association. Over time further shares in the property can be purchased until the home is owned outright. To help would-be home owners take their first step, the Ipswich is offering buyers the opportunity to borrow funds for up to 95% of the share they buy in their new home.

The exclusive mortgage is only being offered in conjunction with Flagship, Orwell and bpha, and boasts an attractive 3 year fixed rate of 6.75% until 31 August 2013. Each housing association will pay up to £500 of the buyer’s legal costs – subject to terms and conditions.

Ian Brighton, General Manager (Business Services), Ipswich Building Society, said: “In developing this shared ownership mortgage we listened carefully to what our customers were saying about difficulties in getting on the housing ladder. We have considerable expertise in shared ownership mortgages and we are delighted to work with Flagship Housing Group, Orwell Housing Association and bpha to deliver this special offer.”

Stephen Javes, Chief Executive of Orwell Housing Association said: “It was pleasing to both work with a local building society and provide help for local people to gain access to the housing market.”

Martin Aust, Flagship’s Strategy and Development Director, said: “With the majority of first time buyers finding it difficult to secure a mortgage and realise their dream of home ownership, this exclusive product offered by Ipswich Building Society through the shared ownership scheme will give first time buyers a real opportunity to step on to the property market in Norfolk and Suffolk.”

John Cross, bpha’s Chief Executive, said: “With house prices increasing and families needing over 10 times the average income to purchase a home in the East of England, shared ownership is an attractive option for families who cannot afford one outright. We are very pleased to be part of this exclusive scheme that should help more first time buyer’s access affordable home ownership.”

Ipswich Building Society, one of the few lenders operating in shared ownership, takes pride in offering simple, transparent mortgages. This new, exclusive mortgage complements the Ipswich’s current range of mortgage products and comes on the back their highly successful standard 3 year fixed rate Affordable Home Loan for shared ownership purchases.

For further information about the new Shared Ownership mortgage, contact the following:-

Ipswich Building Society 0845 230 8686 or www.ibs.co.uk

Flagship Homes 01603 255444 or www.flagship-homes.co.uk

Orwell Housing Association 01473 218818 or www.orwell-housing.co.uk

bpha’ specialist sales arm Keyhomes East on 0845 4566757 or www.keyhomes-east.org.uk

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