An Introduction to Own New
Posted 26/04/2024
Own New is the simpler, better, hassle-free way to get a mortgage on a new-build property – for up to 95% of the purchase price. Own New is increasing the accessibility and affordability of mortgages for new homes, and it’s available for buyers with a small deposit – just 5% is the minimum you need.
What are the benefits.......
- Get moving sooner
Whether you’re a first-time buyer or a current homeowner, Own New means you could buy the new home you want much earlier than you thought. Purchasing with a lower deposit means you don’t have to spend years saving or building equity before you can move home.
- A mortgage that’s right for you
Working with lenders and developers, Own New enables lenders to offer mortgages at economical rates. You can choose from a wide range of new homes, including higher value properties. Please check regarding specific availability and the terms and conditions that apply.
- Who qualifies for Own New?
The Own New scheme is open to first-time buyers and people who have previously bought a home. It’s also the perfect solution for people with low deposits or more complex financial circumstances. For example, if you are self-employed, have previously been furloughed or are still building your credit rating, you can still be accepted for a standard mortgage.
- How it works
With Own New, you get a standard mortgage which is arranged directly with the lender in the usual way. When you apply for your Own New mortgage, you will be assessed based on your ability to make the repayments. Once accepted, you go on to own 100% of your new home.
- What does it cost?
There is no cost to the homebuyer for using Own New. Your home builder pays a small fee on completion of the sale. The arrangement reduces a lender’s risk, enabling them to offer competitive low deposit mortgages on newly built properties.
- Why buy new?
Buying a brand new home means there’s no costly maintenance and no need to revamp someone else’s tired decor. New homes are energy-efficient so can save you money on bills compared with older homes.
Own New has two schemes available - Own New Deposit Drop and Own New Rate Reducer
Buying a home is easier with Own New Deposit Drop
Following the end of the Help to Buy scheme, the Own New Deposit Drop scheme allows you to own 100% of your new home with as little as a 5% deposit, whether you are a first-time buyer or looking to buy again.
With an Own New Deposit Drop mortgage, you are assessed based on your ability to make repayments, meaning you can still be accepted for a standard mortgage with no regional price caps, even if:
- You are self-employed
- You have multiple sources of income
- You have previously been furloughed
- You don’t yet have a credit rating
Own New Deposit Drop is a mortgage scheme supplying 95% mortgages to new-build houses and apartments, currently available on selected Higgins Homes up to £500,000 at Ecole.
Made with customers in mind, the scheme is designed to offer more affordable mortgages to a wider range of people, no matter your circumstances.
How does Own New Rate Reducer work?
Higgins Homes gives a financial contribution of up to 5% directly to your lender, enabling homeowners to unlock lower mortgage interest rates over a fixed two or five year period through Own New Rate Reducer.
Buyers will own 100% of their home, benefitting from fantastic savings helping combat the cost of living.
Higgins Homes will put you in contact with an accredited independent broker who is specially selected to give advice on the Own New Rate Reducer scheme, finding the best fit for you.
Higgins Homes contribution goes directly to your mortgage lender (through the 3rd party Own New)
You could reduce your mortgage interest rate and save on your monthly mortgage payments in the first 2-5 years
Speak with our friendly sales advisors to find out which developments and plots are eligible for the Own New Rate Reducer scheme and choose the perfect home for you.
You can find out more about Own New and alternative incentive options at #MyHigginsHome.
*Customers should always seek independent mortgage advice before making a final decision.*
*Terms and conditions. Own New is available on selected developments and plots only, subject to availability plus lender criteria and availability.
