HomeBuy Direct & First Time Buyers’ Initiative

HomeBuy Direct

The HomeBuy Direct scheme provides equity loans to help first-time buyers purchase selected new build properties. HomeBuy Direct participants are given help to purchase a new build home from a number of development partners. The purchaser takes out a mortgage to cover at least 70 per cent of the purchase price and this is topped up with an equity loan covering up to 30 per cent of the price. The maximum value of homes purchased through HomeBuy Direct is £300,000.

The equity loan is co-funded by the HCA and the development partner. The total amount that the purchaser pays back on the equity loan component corresponds to the property’s market value at the time of repayment.

HomeBuy Direct options will be available from early 2009, additional information on this initiative will be released as it becomes available.

You can find out more information about HomeBuy Direct by visiting the Homes and Communities Agency website

First Time Buyers Initiative (FTBI)

The First Time Buyers’ Initiative (FTBI) enables first time buyers to fund from just 50% of a new home on a designated FTBI development. You will need to raise funds totaling a minimum of 50% of the final purchase price. This amount can be made up of a conventional mortgage and any deposit amount that you may have. The Government will fund the remainder. For the first three years of FTBI home ownership there is nothing to pay on the amount the Government contributed. After three years you will pay 1% per annum on the Government contribution. This fee will increase each year by a fixed percentage reaching 3% after five years. When you sell the property you repay the percentage the government funded. You also have the option of repaying the loan in installments of 10% at any time.

English Partnerships is the national regeneration agency, supporting high quality sustainable growth in England. They are a non-departmental public body and our sponsor goverment department is Communities and Local Government (CLG).

IMPORTANT: FTBI is presently in the process of being replaced by HomeBuy Direct and as a result no new FTBI developments will be approved after all current developments sold.

You can find out more about the First Time Buyers' Initiative by visiting the English Partnerships website.

FTBI Buyers Guide - (PDF 165 KB / 22 pages)

For information on availability at existing FTBI developments in Berkshire, Buckinghamshire and Oxfordshire please contact Catalyst Housing Group on 0845 601 7729.

Existing FTBI purchasers who have questions concerning fees, repayments and ‘staircasing’ should go to the First Time Buyers Intiative website.