Shared Equity Housing market to be re-energised by goverment initatives.
Shared equity schemes seem to be the perfect way for developers and the goverment to get the hosing market moving again.
Struglling developers all over the country have mothballed developments, with millions of pounds of working capital tied up in empty properties. The government recently announced the purchase of 379 homes from Bovis for £18M. This works out at £47,500 per home a good deal for Communities and Local Government.
Bovis said its sales figures are ‘in line with expectations’. The house builder completed 1,817 homes during 2008, down 38 per cent from the 2007 total of 2,930. Private completions were down 47 per cent to 1,223.Social housing made up 33 per cent of sales, up from 22 per cent in 2007, and Bovis agreed ‘a number of deals’ with the Homes and Communities Agency to sell unsold stock to housing associations.
If more builders took the same initiative to off load housing stock at a discounted price that still made them a profit and strengthened their balance sheets maybe more Shared Ownership & Shared Equity properties would be available sooner rather then later. If you want to know more about shared ownership & shared equity mortgage schemes, then contact Click n go Mortgages here.
