30% discount for the first time buyers, local people and key workers under new scheme
The UK Housing Secretary Robert Jenrick has announced that for first time buyers, local residents and key workers, the First Homes scheme will provide newly constructed homes at a 30 per cent discount.
In February Mr. Jenrick had previously announced an initiative. Its confirmation was reflected in the controversial reform proposals he formulated this week.
He said that the First Homes scheme will be beneficial to anyone who dreams of having a new home.
He added that the discount should be at least 30% and it would be permanently linked to the proposed properties, which would benefit future buyers of the property.
Under the scheme, more priority will be given to Armed forces veterans. In addition, councilors will be encouraged to prioritize key workers, such as teachers, police, nurses and prison officials.
A guide to the scheme issued by the Ministry of Housing, Communities and Local Government said, when owners of First Homes sell their homes to someone else, at least a 30% discount will be passed on.
“First Homes are for people to live in so we won’t allow them to be used as holiday homes or as buy to lets. These are for local people to take their first step on to the ladder,” he added.
The ministry claims that lowering the cost of the required would ensure that young people will not be forced to move away from their hometowns while looking for an affordable property.
The government says that no additional building costs will happen, as the scheme will be funded through contributions that housing developers consistently provide through the planning system.
Ministry of Housing, Communities and Local Government (MHCLG) said, more information should be available “later this year.”