The Property Comprises -
Entrance - UPVc door into entrance lobby.
Living Room - 4.29 x 3.38 (14'1" x 11'1") - UPVc double glazed window, radiator, under stairs storage cupboard, wooden style fire surround with an electric fire, and decorative coving.
Breakfasting Kitchen - 2.69 x 4.37 (8'10" x 14'4") - UPVc double glazed window, and door to the rear garden. Dining area to one side, and the Kitchen is fitted with a range of floor and wall units, counters and sink.
Stairs To First Floor - Landing, with cupboard, leading to...
Bedroom 1 - 3.51 x 2.41 (11'6" x 7'11") - UPVc double glazed window, and radiator.
Bedroom 2 - 3.48 x 2.41 (11'5" x 7'11") - UPVc double glazed window, and radiator.
Bedroom 3 - 2.64 max x 1.88 (8'8" max x 6'2") - UPVc double glazed window, storage cupboard, and radiator.
Bathroom - 1.85 x 1.83 (6'1" x 6'0") - UPVc double glazed window, and radiator. Part tiled walls and fitted with a white suite and a shower over the bath.
Gardens & Driveway - There is a driveway to the front for private parking and to the rear, there is a fenced garden, not overlooked. It is a good size and has a decked patio area and an ornamental pond.
What Is Shared Ownership? - Shared Ownership was introduced by the Government to help people who cannot afford to buy a suitable home outright. Through the scheme you buy an initial share of the property and pay a rent on the remaining share you do not own. Gradually you can buy further shares and, in most instances, own your home outright. Although you have not bought the property outright, you will have the normal rights and responsibilities of a full owner occupier under the terms of your lease. How does it work? The scheme allows you to purchase a share of the property from the Association. The share you purchase is funded by a mortgage which you will need to arrange with a bank or building society. The remaining share you do not own is rented from the Association. When you purchase your home we will grant you the remainder of the lease which sets out your rights and responsibilities will entitle you to live in your home as an owner occupier. It will also entitle you to buy further shares in the property and sets out how you can do this. It also states that you can sell your share of the property.
Eligibility - Bernicia will give priority to applicants who fit our basic eligibility criteria which includes:
1)Your household earns £60,000 or less
2)You're a first time buyer (or you used to own a home, but cant afford to buy one now)
3)You rent a council or housing association property.
In addition we are only able to sell to buyers who meet the following criteria;
1)Must be over 18 years old
2)Be a British citizen(s), have permanent leave to remain in the country, or be from the member states of the European Union and currently working or living in the UK.
3)Are not able to afford to buy a home outright on the open market
4)Have sufficient savings or access to funds to meet the one off costs of buying a shared ownership home, and access to funds or a mortgage for their share of the purchase
5)Can show their ability to afford the total monthly outgoings of a shared ownership purchase including our monthly rent and service charge
6)Application approved by Help to Buy North East Yorkshire (or similar agent) in line with Homes and Communities Agency funding guidance.
You are allowed one more bedroom than your current needs. For example:
Single person = 2 bedrooms
Couple = 2 bedrooms
Single person + 1 child = 3 bedrooms
Couple + 1 child = 3 bedrooms
Couple + 2 children = 4 bedrooms
However, a single person with a child or a couple with a child will be given a higher priority for a two bed property than a single person or a couple. So although you may be eligible for a larger size home, it does not mean that is what you will be offered. The size of home you can buy or rent will also depend upon what you can afford. Some properties may be eligible to other applicants, depending on their funding arrangements, section 106 planning conditions, property constraints or scheme design. Where relevant, this will be made clear to estate agents marketing the property.
The Next Step - On receipt of your returned Bernicia Shared Ownership application form we will carry out an affordability assessment on the information you have provided. This assessment will confirm the likelihood of you being able to afford to purchase and sustain the property. If this assessment is satisfactory, we will arrange a home visit to discuss your application and for you to ask any questions you may have.
We recommend at this stage that you see an independent financial advisor if you require a mortgage to fund your purchase. Where applicable a mortgage agreement in principle letter will be required from your mortgage lender confirming what amount they are prepared to lend to you for a shared ownership mortgage.
Bernicia will also request information of the proposed mortgage offer such as interest rate, number of years to repay the loan and the amount of deposit available so that we can make an accurate assessment. Bernicia suggest that you shop around for the best deal as lenders offer different deals. Your mortgage term may not be longer than 25 years unless agreed at the discretion of the Association and you may not be over the age of 65 when your mortgage term ends without the written approval by the Association. Bernicia also recommend that at this stage you research what solicitor you would like to use and obtain an estimate fee for their work on your purchase.
Home Visit - In order to assess your eligibility Bernicia will arrange a home visit at a mutually convenient appointment. This visit will be to assess whether:
You will be able to afford home ownership without over-committing yourself financially
You are unable to afford to buy on the open market
You have sufficient savings to cover the costs associated with buying a home, such as solicitors fees, mortgage arrangement fees etc. You will not be able to add these to your mortgage.
At this visit we will be require you to provide us with the following evidence to support your application:
Proof of ID driving licence or passport
Proof of National Insurance number
Your last 3 months pay slips
Your last 3 months bank statements
If you get any regular overtime or bonuses not shown on your payslips, evidence of these from your employer.
Evidence of any other income including income from benefits, maintenance from a former relationship, income from savings and investments.
If you have any loan agreements or credit and store card debts, copies of latest statements
Evidence of any savings
Medical support letters (where applicable)
Proof of Northumberland Homefinder/Tyne and Wear Choice Based lettings reference/banding if you are a current home owner with a property to sell
During your home visit we will cover:
Who Bernicia are and what they offer
The purpose of the appointment
What is shared ownership and who is eligible
Information about the property you have applied for, including rent levels, service charge payments
Your contact details and preferred method of contact
Form and length of Lease you will be assigned
Assessment - When Bernicia receive all of the evidence required to support your application they will make an assessment of your financial information to determine whether you can afford to buy and sustain a property and at what percentage using the Homes and Communities Agencies affordability calculator. The Homes and Communities Agency regulate social housing providers in England and provide funding for the construction of affordable social housing. Bernicia also determine how you are currently managing your finances. They carry out vigorous assessments to ensure potential shared owners can afford the initial purchase and who can sustain home ownership to ensure that grant monies received from the Government are used wisely and in line with current regulations. The Homes and Communities Agency within their Capital Funding Guide specify that Registered Providers must encourage purchasers to buy the maximum share they can afford and sustain so the affordability calculator provides us with the share Bernicia must offer you based on the information you have provided. They also aim to provide an excellent service and therefore only allow you to buy a property if this is suitable to your needs. If you are unfortunately unable to afford it Bernicia will point you in the right direction of a range of further housing options. As part of their assessment we will require a current tenancy reference and character reference. If you do not wish the Association to request a tenancy reference from your landlord at this stage, any offer made will be subject to receiving a satisfactory tenancy reference before you complete on your purchase. By signing the application form Bernicia have permission to contact third parties with regard to:
Police records/ convictions of a criminal offence in the last 5 years
tenancy enforcement action due to anti-social behaviour
exclusion from a local authority or housing association waiting list
outstanding debts to a current or former landlord
Equifax Check - Bernicia reserve the right to take up references relating to applicants as they consider necessary and will carry out a verification check with Equifax (or similar organisation) to verify and confirm your personal identity, based on the information provided. This check will produce an individual consumer report, which may also contain a credit check, and details will be kept during the transaction and duly destroyed. By signing the Shared Ownership application form you are giving your consent for the Association to use the information you have provided to perform such a check and enable them to progress your transaction.
Shortlisting - If you are the only applicant at that time applying for a particular property we will still take you through the assessment process and if your application is satisfactory we will confirm to the vendor that they can accept your offer. If more than one person is interested in the same property and both are eligible and they applied at the same time, Bernicia look at the priority given by either Help to Buy North East Yorkshire Humber or Northumberland Homefinder/Tyne and Wear Choice Based Lettings systems. They will also allocate in accordance with the Associations Shared Ownership Allocations and Sales Exclusions Policy.
Offer Letter - Once Bernicia have all the information required to make a full assessment they will confirm that you are eligible to purchase the property. They will liaise with the vendors regarding acceptance of your offer. Your offer letter will include:
the address of the property
name of all purchasers and address details
description of property to be purchased
full market value of the property
percentage and value of the property to be purchased
rent, building insurance, admin and service charge details for the unsold equity
Bernicia will require details of the solicitors acting on your and the vendors behalf. Bond Dickinson LLP will be acting on behalf of the Association and Bernicia will arrange for the sale file to be forwarded at the appropriate time.
Once the legal transaction has begun, it is likely that most communication and requests for information relating to the property sale will be dealt with through both solicitors, however you are still welcome to contact us should you have any additional queries. In order that your purchase goes smoothly, it is essential to instruct your chosen solicitor without delay. You are advised to keep in regular contact with your solicitor and to respond promptly for any requests for information.