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Home Buy Direct scheme

If you are a first-time buyer who can't afford to buy a home without help, find out about the 'Home Buy Direct' scheme. You could get an 'equity loan' for up to 30% of the cost of a home.

Home Buy Direct - who can apply?

The Home Buy Direct scheme covers positive properties in every region of England. Before you can get a home through the scheme, you need be sure that you meet the eligibility criteria.

How to apply

If you think you are qualified for help to buy a home through the Home Buy Direct scheme, contact your local Home Buy agent. If you are a key worker, you should contact the Home Buy agent for the area where you work.

The scheme is provided through 'Home Buy agents', who can help you during the application process for a home. Home Buy agents are appointed housing associations - non-profit organizations that handle housing for people having difficulty buying a home.

Home Buy Direct is open to households earning less than £60,000 a year who would otherwise be unable to buy a home.

You may be eligible if you are either a:

• first time buyer
• previous home owner who can't now afford to buy without help
• housing association or council tenant
• 'key worker'

How does Home Buy Direct work?

Your local Home Buy agent will assess your eligibility for the scheme and then look at the options offered in your area. There are certain newly built properties that you can get help to buy through the Home Buy Direct scheme.

You'll need to be able to cover at least 70% of the cost of the property. This will need to be done through a mortgage from a capable lender regulated by the Financial Services Authority and any savings.

In most cases you'll still require some money to cover the costs of buying a house, like Stamp Duty, legal fees and any deposit.

If you are eligible:

• you could get an 'equity loan' of between 15 and 30% on the cost of a newly built property
• you'll need to repay the equity loan when you sell the property
• you can choose to repay some or all of the loan sooner by buying additional equity shares in the property

The Home Buy Direct scheme will be completely open soon. If you are interested in buying a property during the scheme, contact your local Home Buy agent for advice.