SO Resi Magazine Vol 5

WELCOME

We are delighted to partner with SO Resi to bring you this exclusive magazine, raising the awareness of shared ownership. We also dig down into the realities of buying your first home, which we know can be a bit of a minefield.

The magazine not only gives you the latest information about how shared ownership works, there is also the lowdown on Stamp Duty, and London Living Rent and Rent to Buy and how they work. We shine the light on three SO Resi developments in some exciting FTB hotspots and give you the latest news on the mortgage market. Educating young people on how to save and plan for their future is so important and SO Resi is leading the way to start conversations about homeownership as early as possible. The shared ownership expert recently launched a new education initiative, in partnership with A-level students at Fulham Boys School, which will certainly help them in the future when it comes to saving and planning for life’s big challenges.

We know how hard it can be to get on to the property ladder, but it is always our aim to explain clearly and without all the jargon exactly what is involved on the journey to homeownership. It is an exciting time and we would like to wish you every success and happiness in the search for your dream home.

We do hope you enjoy this SO Resi special supplement.

Happy house hunting

Lynda Clark Editor, First Time Buyer

HELLO!

Welcome to the latest exciting edition in partnership with First Time Buyer magazine. We’re SO Resi, one of the UK’s leading shared ownership providers, here to help you on your journey to buying your first home. If you aren’t yet familiar with shared ownership, keep reading!

Our goal is to build safe, comfortable and, above all, affordable places to live. Whether you’re a first time buyer, or simply looking for an affordable route to homeownership – no matter your budget, we’re here to help.

This issue is jam-packed with the latest advice and information about shared ownership. We’ll be guiding you through three of our newest developments – SO Resi Farnham, SO Resi Bracknell and SO Resi Hope Green, alongside explaining shared ownership’s sister schemes, London Living Rent and Rent to Buy. Plus, we’ll be sharing real life testimonials from some of our recent homeowners!

We’ll be speaking to Jon Lord, MD at Metro Finance, about what’s going on in the mortgage market for first time buyers, while Esaiyas Mollallegn, Head of Marketing at SO Resi, discusses his education initiative with Fulham Boys School.

Before we get started, I want to wish you the best of luck in your house hunting journey this year. Simply turn the page to take the first step...

Kevin Sims, Director of Sales and Marketing, SO Resi

CONTENTS

SHARED OWNERSHIP

If you are struggling to buy your first home, we give you the lowdown on shared ownership, the scheme which only requires a 5% deposit.

REAL LIFE

During lockdown, many first time buyers managed to save for their first home. Jenie Fuerte, 34, is one aspirational buyer who managed to boost her savings and purchased a 25% share of a one bedroom apartment at SO Resi Ealing using shared ownership.

REAL LIFE

Fabiola Mendes and her partner Marcos used shared ownership to purchase a home at SO Resi Ealing.

REAL LIFE

Rowann Benton and her partner Rudi Hilomen-Morante will soon be moving into a new shared ownership house at SO Resi Camberley, Surrey.

A HELPING HAND

Saving for a deposit may seem like an impossible dream in the current climate, but these Rent to Buy schemes, which cut rental costs for tenants, allow them to save to buy their dream home.

HOTSPOT – FARNHAM

Farnham, with its historic Georgian architecture, is one of Surrey’s most picturesque towns. It offers great transport links, good schools, and properties to suit all budgets.

HOTSPOT –BRACKNELL

Bracknell offers the perfect balance for first time buyers looking to escape the demands of inner city living, while still maintaining easy links to the capital.

HOTSPOT –STANFORD-LE-HOPE

Stanford-le-Hope is home to around 20,000 residents and has a great selection of shops, pubs and restaurants.

STAMP DUTY EXPLAINED

The amount you are charged in Stamp Duty depends on both your property purchase and your status – we look at the tax in closer detail.

THE POWER OF EDUCATION

SO Resi launched a brand new education initiative in partnership with A-level students at Fulham Boys School, helping pupils to learn about shared ownership and other financial aspects of buying their first home and preparing for a secure future.

THE SHARED OWNERSHIP MORTGAGE MARKET

Jon Lord, MD at award-winning shared ownership mortgage broker Metro Finance, talks about affordability for first time buyers in the current mortgage market and looks at some of the advantages of using shared ownership.

NEW MODEL SHARED OWNERSHIP

THE SHARED OWNERSHIP SCHEME, WHICH ENABLES PEOPLE TO PART-BUY, PART-RENT A HOME, IS CHANGING TO MAKE IT EASIER FOR EVEN MORE PEOPLE TO TAKE A STEP ON TO THE HOUSING LADDER

Shared ownership is a low-cost way to get a foot on the housing ladder by buying a share in the leasehold of a home, and paying rent on the rest, with the option to buy more shares later. Changes to the scheme began to be implemented in 2021, and as the transition period draws to a close this year, most shared ownership sales will follow the new model – which means lower initial costs, easier staircasing and more help with repairs and maintenance.

SMALLER SHARES

Previously, those who wanted to make a shared ownership purchase had to be able to afford to buy a minimum share of 25% of the value of the property. That minimum purchase has now been reduced to 10%, making it easier for those on lower incomes to take part, especially in areas with high house prices – a change which the Government said will help an additional 300,000 households on the way to homeownership. Buyers will still be encouraged to take out the largest share they can afford, however, and will pay a deposit based on the share they are buying.

LONGER LEASES

In the past, shared ownership homes could have leases as short as 99 years. As the value of a leasehold reduces with less than 80 years remaining, shared owners often had to pay for a lease extension when they wanted to sell. Under the new model, leases must be a minimum of 990 years, so will hold their value for generations.

OWNING MORE

The process of buying more shares in a home is known as “staircasing”, and this process is now cheaper and easier. Those on the old shared ownership model had to buy at least another 10% when they staircased, with new valuation and legal fees each time. With the new scheme, shared owners can buy an additional 1% every year for 15 years, with no legal or valuation fees. Instead, the price of each share is set using an estimate, based on the original valuation and house price inflation. The option to staircase in larger chunks, from 5% at a time, is also available but will need a new valuation.

HELP WITH REPAIRS

The Government promotes shared ownership as a “middle ground” between homeownership and renting, and to make the transition easier, shared ownership buyers will now get support with repairs. Previously, even if a shared owner had only bought 25% of the leasehold to the property, they were fully responsible for all the repairs and maintenance, both for their own home and, via the service charge, for communal areas such as the roof and exterior cladding. Under the new scheme, for 10 years any essential repairs to the exterior or structure that are not covered

by a warranty will be carried out by the landlord (if they own the building). Work inside the home remains the job of the shared ownership leaseholder, but when it comes to boilers, heating systems and bathrooms they can claim from the landlord £500 a year to cover essential repairs if they are not already covered by a warranty. The 10-year period starts from the completion of the building, so shared ownership resales will have a shorter guarantee period. The guarantee will end if the buyer staircases to 100% within that decade.

MORE FLEXIBLE SELLING

When it comes to selling a shared ownership home, the new model could be faster. Previously, the housing provider had the right to market the property exclusively for eight weeks. Now, sellers can use an estate agent or sell privately after just four weeks if they wish.

RIGHT TO SHARED OWNERSHIP

Another change is that people who are renting a home that has been created by the Affordable Homes Programme will have the legal right to buy it using shared ownership, providing they have been a social tenant for three years, have lived in the property for 12 months, and meet income requirements.

ELIGIBILITY UNCHANGED

The general eligibility requirements for shared ownership remain unchanged. Buyers must have a deposit of 5-10% of the share they are buying, be able to afford the costs of buying a home and have a household income of less than £80,000, or £90,000 in London.

REAL LIFE

DURING LOCKDOWN, MANY FIRST TIME BUYERS MANAGED TO SAVE FOR THEIR FIRST HOME. JENIE FUERTE, 34, IS ONE ASPIRATIONAL BUYER WHO MANAGED TO BOOST HER SAVINGS. SHE PURCHASED A 25% SHARE OF A ONE BEDROOM APARTMENT AT SO RESI EALING USING SHARED OWNERSHIP

Jenie was previously living in a house share in Ealing and had always intended to become a homeowner, having opened a Help to Buy ISA in 2018 that she was adding to each month. During lockdown, when she could no longer socialise or travel, Jenie managed to boost her savings significantly and was able to put down a 20% deposit on her new apartment.

Jenie, who works in a central London hospital, said, “I had been living in a house share for two years, and while it was fine temporarily, it became a nightmare from the first lockdown. It was hard not having my own space, and having to deal with a challenging landlord was very stressful. The pandemic gave me the push I needed to really focus on my

a place of my own where I could make my own rules and do as I please!

“For me, the most important thing is that I feel happy and comfortable in my home, and shared ownership has allowed me to do this. I now have the security of owning my own home and I don’t have the uncertainty that comes with renting. I would recommend shared ownership to

young buyers like me who are on single incomes, as it offers a realistic route on to the property ladder.”

Jenie adds, “There is a lot of investment going into Ealing at the moment with new housing, retail and of course Crossrail, and you can really see the future potential of the area. It’s very much up and coming, and I’m looking forward to seeing the area develop further. I am confident that I have made a good investment by buying early on in Ealing’s regeneration.”

Alongside the attractive cost and space available, Jenie was also drawn to SO Resi Ealing’s convenient location. She said, “Location-wise the development is perfect as it’s within a short walk of both West Ealing and Ealing Broadway stations, which is handy for me to travel into central London for work or to catch up with friends. I can reach Paddington from West Ealing Crossrail station in just 12 minutes, Bond Street in 15 minutes and Canary Wharf in just 29 minutes. I also really like how close I am to so

many shops and restaurants.

“The outdoor space at SO Resi Ealing was really appealing – the balconies are nice and big, and the rooftop garden is amazing. It’s one of my favourite places to go whenever I want to relax or watch the sunset. There are also plenty of green parks within walking distance, such as Deans Gardens, Walpole Park and the famous Ealing Common. Shared ownership has changed my life and I am so happy I have finally got on the property ladder.”

“Shared ownership has changed my life and I am so happy I have finally got on the property ladder”

REAL LIFE

AFTER 12 YEARS LIVING IN CLAPHAM PARK, FABIOLA MENDES AND HER PARTNER MARCOS WERE AT THEIR WITS END WITH THEIR RENTED ACCOMMODATION AND WERE DETERMINED TO MAKE A FRESH START. SHARED OWNERSHIP AT SO RESI EALING TURNED OUT TO BE JUST WHAT THEY WERE LOOKING FOR

“We had been renting for 12 years in Clapham, but the whole place was falling apart. The landlord didn’t want to fix anything, but didn’t want us to fix anything either! In the middle of last winter, we were stuck with no heating or hot water for a whole week and we just decided that we couldn’t put up with it any longer,” said Fabiola, 42, who works as a hospital pharmacy technician.

Initially, finding an alternative wasn’t easy. Fabiola explained, “I wanted to find an affordable place for us to live that had good public transport connections into central London.” The couple quickly realised that shared ownership provided the only realistic alternative to renting. “It was impossible for us to buy a place without shared ownership − we didn’t earn enough to get a mortgage that size and we couldn’t save up that kind of deposit,” she said.

When they started looking at suitable schemes, Ealing wasn’t initially on their radar. “I didn’t know the area at all,” admitted Fabiola,

and Marcos, 52, who works as a hotel receptionist, didn’t really want to look outside their existing area. Nevertheless, Fabiola decided to take a closer look – and they are both very glad that they did.

“When I first booked the appointment to visit the development, Marcos didn’t want to go, but when we arrived there he changed his mind completely! When we realised what a great area it was, with lots of shopping and public transport, we made a decision to buy there straight away. Everything we need is within walking distance and we don’t need to get on a bus to go to the supermarket.

“We had gone along to look at a one bedroom apartment, which was all we thought we could afford, but when we spoke to Rita in the sales office she explained that there was an incentive happening that would boost our deposit so we could afford to buy a larger apartment.”

The couple had saved up a £14,000 deposit, but thanks to a SO Resi incentive, that deposit was topped up by a further £7,000 so that they were able to buy a 25% share in a two bedroom, two bathroom fourth floor apartment, with a full market value of £557,000. “The fact that they gave us that gift made a huge difference,” she said.

Fabiola and Marcos, who are originally from Brazil, were particularly delighted that their apartment now had two bathrooms and a bedroom for their son, Caua, 18, who is studying European law at Oxford, to return to during the holidays. “Houses in Brazil usually have at least three bathrooms, so having only one bathroom has always been difficult, and it’s great that we won’t have to share with our son any longer. Our balcony is massive, one of the largest balconies in the whole

development

– you could fit a sofa on there – and there’s a rooftop garden as well,” adds Fabiola. “The best thing about it, though, is the silence. You can’t hear the neighbours at all, even if they are playing music, it is so lovely and quiet here.”

SO Resi Ealing is superbly located for public transport. West Ealing station, in Zone 3, is less than 10 minutes’ walk away, with train services to London Paddington in around 13 minutes, while Ealing Broadway also has underground services on the Central and District Lines. West Ealing’s new Elizabeth Line offers speedy Crossrail services right across London and beyond, including to Heathrow airport.

“When we realised what a great area it was, with lots of shopping and public transport, we made a decision to buy there straight away”

REAL LIFE

ROWANN BENTON AND HER PARTNER RUDI HILOMENMORANTE, WHO WILL SOON BE MOVING INTO A NEW SHARED OWNERSHIP HOUSE AT SO RESI CAMBERLEY, SURREY, HAD JUST ABOUT GIVEN UP ON THE IDEA THAT THEY WOULD EVER OWN THEIR OWN HOME. THEY HAD BEEN SAVING FOR YEARS, BUT EVERY TIME THEY THOUGHT THEIR GOAL WAS WITHIN SIGHT, THEY NEEDED TO DIP INTO THEIR SAVINGS FOR SOMETHING ELSE

It had happened yet again when Rowann, 33, took maternity leave from her job as a supermarket sales assistant for a year when she had her son Coby, now one. “I thought we would have to build our savings back up again after the maternity leave before we could think about it again,” says Rowann.

But then a casual conversation while she was waiting for her older son, Noah, five, to come out of school, changed everything. “One of the mums at my son’s school started talking about how she was buying a home through shared ownership and gave us lots of information. Her situation was almost exactly the same as mine, so I thought it was worth finding out more about it. Once I made the first call, everything happened really quickly and we found out that we were eligible!”

Rowann and Rudi, 31, who is a car salesman, were living in a rented two bedroom apartment at nearby Frimley Green and wanted to stay in

the same area as it was convenient for work and Noah’s school. “When we looked on Google maps we didn’t realise just how close SO Resi Camberley was – it’s less than three miles away from Frimley Green so the location was perfect,” says Rowann.

Initially, however, the couple went away disappointed, as there were only apartments available and they were really hoping to get a house. It was only a matter of weeks, however, before SO Resi rang them back to say that five two bedroom houses were going to be released at the development, if they were still interested. “We went to see the show house, which was lovely, and they sent us the floor plans of the two bedroom houses – when we got the tape measure out it was much bigger than our rented place, and best of all, it had a garden,” says Rowann.

They were able to buy a 30% share of the home, which had a full market value of £350,000, putting down an £8,000 deposit. Their monthly costs will be around £1,200. “It’s a bit of a jump from what we are paying now, but we were going to have to get a larger place anyway − I couldn’t stand the thought of spending another Christmas in such a tight space with two boys, so we

would have been looking at that sort of amount in rent for a larger home.

“It will make such a huge difference to the boys to have our own garden. We have communal gardens where we are renting, which are very nice, but Noah can’t play outside on his own. Here he will be able to go into the garden whenever he likes. We are on the first floor at the moment, and I’m definitely looking forward to never

having to drag a pushchair or bags of shopping up the stairs again! It will also be good to be able to have friends and family over to visit without it being so cramped.”

SO Resi Camberley is on the outskirts of the Surrey village of Deepcut, in a brand new neighbourhood called Mindenhurst, and priority is given to residents who live or work within Surrey Heath. Set on the site of the former Princess Royal Barracks, the new heathland village is surrounded by woodland and open spaces, is close to good schools and shops and has great travel connections − Brookwood railway station is just three miles away, with services to London Waterloo in as little as 35 minutes.

“When we got the tape measure out it was much bigger than our rented place, and best of all, it had a garden”

A HELPING HAND

SAVING FOR A DEPOSIT MAY SEEM LIKE AN IMPOSSIBLE DREAM IN THE CURRENT CLIMATE, BUT THESE RENT TO BUY SCHEMES, WHICH CUT RENTAL COSTS FOR TENANTS, ALLOW THEM TO SAVE TO BUY THEIR DREAM HOME

Recentrises in the cost of living have made saving for a deposit to buy a property harder than ever. With spiralling rental costs and rising bills, buyers have less money to save at the end of the month, making it almost impossible for so many to go from renter to owner.

Frustratingly, mortgage repayments are likely to be a lot cheaper than rent – but being able to raise a deposit to get a mortgage in the first place is the biggest barrier of all.

Here we look at the Rent to Buy schemes designed give tenants the financial space to save for their own home and make homeownership achievable for working professionals and families alike.

RENT TO BUY

Rent to Buy is the Government scheme that gives tenants the chance to rent properties at a reduced rate, allowing them to save for a deposit and eventually buy their own home through shared ownership. With Rent to Buy they pay a below-market rent – around 20% less than market rent. This heavily discounted rent means more of their salary can be spent on building savings.

Tenants can rent and save for an initial two-year period, though this can be extended if their savings aren’t quite ready after this time. Once they have enough for a deposit and are approved for a mortgage, they can buy any home in their budget through shared ownership.

Properties ranging from first-rung-on-the-ladder apartments to larger family homes are available across England (except London) and can be found via local council and housing association websites. Some private landlords also offer homes through the scheme.

SHARED OWNERSHIP

Those who choose to buy a shared ownership home start by buying a share of the home (usually from around 10-25% with this scheme) so they will need a deposit to cover buying that share. Once they’ve bought part of the home and have a

mortgage, they can increase the amount they own – up to 100% (full ownership) – at their own pace over the coming years.

LONDON LIVING RENT SCHEME

Anyone who’s ever rented in the capital knows what a financial stretch it can be. The London Living Rent scheme is the London counterpart of Rent to Buy, funded by the Mayor of London. It allows Londoners on middle incomes to live in a beautiful new build home with reduced rent for three to 10 years. Rents are offered at around a third less than prices in most London boroughs. It works with the same aims as Rent to Buy – tenants can use what they save on rent to save up and buy their first home through shared ownership. After three years, tenants are offered the opportunity to buy their home or carry on renting for up to 10 years, depending on how much time they need to save.

SO FLEXI

SO Flexi is the sister brand to SO Resi and will be offering homes under this scheme only for shared ownership and not through private sale. The brand will soon be marketing these homes, which will be featured on soresi.co.uk in the next couple of months – so do keep an eye on the website so you don’t miss out.

soresi.co.uk

FARNHAM

FARNHAM, WITH ITS HISTORIC GEORGIAN ARCHITECTURE AND BUSTLING MARKET TOWN CENTRE, IS ONE OF SURREY’S MOST PICTURESQUE TOWNS. LOCATED ON THE EDGE OF THE SURREY HILLS, THE TOWN IS SURROUNDED BY BEAUTIFUL COUNTRYSIDE. IT OFFERS GREAT TRANSPORT LINKS, GOOD SCHOOLS, AND PROPERTIES TO SUIT ALL BUDGETS

Farnham is England’s first World Craft Town (a status granted by the World Crafts Council), recognising the work of generations of crafters and the continuing relevance of crafting in

the town today. The town’s creative culture includes the Farnham Maltings (an arts and cultural centre presenting a programme of performance and participation work), The University of Creative Arts, the International Textiles Research Centre and the Crafts Study Centre. The town also hosts Farnham Craft Month in October, an impressive celebration of craft bringing together hundreds of makers in a diverse programme of events. The creative heart of the town is reflected in its shopping too, with independent boutiques peppering distinct streets including Lion and Lamb Yard, a lovely cobbled car-free street, with a selection of luxury household shops, bespoke jewellers and book shops, and the historic Downing Street, which is home to a traditional sweet shop, independent clothes shops and a ceramics cafe. Alternatively, head to The Borough for all the usual high street brands. Castle Street – complete with castle backdrop – offers a plethora of eateries if you need

HOTSPOT

to break for refreshment. It’s also home to an annual food festival and a Christmas market. A farmers’ market every fourth Sunday in the month offers fresh, locally sourced produce such as vegetables, cheeses, meat and fish as well as baked items. For your everyday grocery needs, supermarkets include Waitrose, Sainsbury’s and Lidl.

Farnham has plenty to offer for evenings out too. Check out local pubs for a range of cuisine beyond the usual pub grub, including exceptional Greek food at Yiayias at The Fox. Daniele Sicilian restaurant is another local favourite, and perfect for al fresco dining. Head on to Borelli’s for a great selection of wine and draught beers, or to The Botanist for cocktails and live music.

Should you need to travel for work, it’s only 10 minutes along the A31 to Guildford, and less than 20 minutes to the M3. The city commute is around an hour to London Waterloo. The M25 is also quickly accessible, offering easy access to London Gatwick and Heathrow airports.

Farnham lends itself to an active lifestyle, so offers a great work-life balance for commuters; not many towns can claim a 130-hectare medieval deer park on the doorstep! The park contains a picturesque fourmile loop walk and even has a play area for the kids.

Slightly further afield, you have the North Downs, Surrey Hills and Frensham Ponds. Football, rugby, cricket and tennis clubs are available for all ages and there is a range of local gyms with Farnham Leisure Centre, David Lloyd, Nuffield and Functional Fitness all local.

SO RESI FARNHAM

SO Resi

Farnham is a new development of 72 contemporary one and two bedroom apartments, made accessible through shared ownership. The high-specification, stylish homes have clearly been designed with comfort and modern living in mind, and have neutrally decorated living areas which help to create a light and airy living space. Some apartments have Juliet balconies and all have allocated parking spaces.

The homes all feature fully fitted contemporary white kitchens complemented by dark ash worktops. Integrated appliances include a fridge-freezer, oven, hob, extractor hood and dishwasher. Bathrooms are fitted with modern white suites, baths and a shaving point. A washer-dryer is also provided, located in a hallway cupboard.

Flooring is included as standard – no hidden extras here. Bedroom areas are fully carpeted in Oaklands Cornish Cream, kitchen and open-plan areas (including hallway, living/dining areas and cupboards) have beautiful Amtico walnut-style flooring, and bathroom and en suite floors have ceramic tiling. There are numerous communal areas, gardens and green spaces for residents to enjoy in this thoughtfully designed new community, perfectly located in the heart of Farnham, with even more amenities planned for this impressive development.

SO Resi Farnham is an electric-only development, and a number of green roofs have been included across the development as part of the energy and sustainability strategy.

soresi.co.uk/find-a-property/so-resi-farnham

From £67,500 for a 25% share of the full market value of £270,000

BRACKNELL

LOCATED 30 MILES WEST OF LONDON, BRACKNELL OFFERS THE PERFECT BALANCE FOR FIRST TIME BUYERS LOOKING TO ESCAPE THE DEMANDS OF INNER CITY LIVING, WHILE STILL MAINTAINING EASY LINKS TO THE CAPITAL. BRACKNELL OFFERS MUCH MORE FOR YOUR MONEY THAN MANY NEIGHBOURING TOWNS AND DISTRICTS, YET IS HOME TO HIGH-PERFORMING SCHOOLS AND A FANTASTIC RANGE OF AMENITIES

Over the past decade, Bracknell town centre has been transformed, and the area is reaping the rewards of this regeneration. The ongoing investment has included the development of public squares for events and activities, improved parking in the town, and £6.5m extra investment in the highway infrastructure from Bracknell Forest. But perhaps most impressive of all is The Lexicon, which really has breathed new life into the area. The Lexicon includes a pair of 80,000 sq ft stores housing Fenwick and Marks & Spencer, and boasts over 100 fashion and beauty brands. In addition, there is a great choice of restaurants – Prezzo, Wagamama, Zizzi, GBK, Pizza Express and Tang’s to name a few –and a 12-screen cinema.

Beyond The Lexicon, Bracknell continues to give, with an impressive range of places to eat, drink, and socialise. The South Hill Park Arts Centre is a real gem, housing two theatres, a cinema, specialist art studios, gallery spaces and a restaurant within the grounds of an 18th century mansion house. It hosts over 300 shows, events, films and exhibitions each year, in addition to visual and performing arts courses.

You are also spoilt for choice for fun days out in and around Bracknell. Coral Reef Waterworld has been a firm favourite with families for over 30 years. Following a £13m refurbishment in 2017, it is home to thrilling waterslides, an erupting volcano, a lazy river and a pirate ship. No kids? Head to the adults-only Coral Spa area to unwind. Other local attractions include Go Ape Bracknell, the Look Out Discovery Centre and Hollywood Bowl.

While Bracknell has plenty to keep you occupied, you also have easy access to both the Berkshire countryside and the capital. The town is well served by two mainline railway stations – Bracknell and Martin’s Heron – providing a straightforward route into London Waterloo in around an hour; a reasonable commute. The town is also conveniently located between the M3 and the M4, 11 miles from Reading, and approximately 10 miles from Windsor.

Bracknell is proving increasingly popular with families and professionals alike, who are finding that they can finally afford to get on the property ladder without compromising on location.

SO RESI BRACKNELL

Bracknell has undergone an incredible transformation and SO Resi Bracknell is at the heart of it. These contemporary homes form part of the wider Amber House development, a mixed-use scheme offering 126 shared ownership and 67 affordable rent homes, in addition to commercial space. The collection of stylish one and two bedroom homes is perfectly positioned to enjoy everything the town has to offer, with the added luxury of landscaped gardens.

Designed for convenient living, and maximising light and space, each apartment is finished to an impressively high specification. Luxury kitchens include integrated Zanussi appliances for a streamlined look, and bathrooms boast rainfall showers, inset basins and heated towel rails. A Zanussi A-rated washerdryer is included, as is flooring – Pennine Twist Birch carpet and Karndean lime washed oak-style floor.

Fresh, neutral decor throughout means you can move straight in and relax. Impressive finishing touches also include a programmable thermostat, Venetian blinds, LED dimmable downlights and a digital concierge parcel box. All homes offer outside space – a private balcony or terrace – plus secure cycle storage. Some also have designated parking.

Step outside to a beautifully landscaped central courtyard, providing a shared area to relax and meet the neighbours, and take a short stroll to local shopping, dining and green spaces. For commuters, the development is moments from the railway station with fast links to London Waterloo and Reading.

soresi.co.uk/find-a-property/so-resi-bracknell

From £75,000 for a 25% share of the full market value of £300,000

STANFORD-LEHOPE, ESSEX

STANFORD-LE-HOPE – STANFORD TO THE LOCALS – IS LOCATED 24 MILES EAST OF CHARING CROSS BUT FEELS A WORLD AWAY FROM THE CITY. SURROUNDED BY BEAUTIFUL COUNTRYSIDE AND FARMLAND, WITH THE BANKS OF THE THAMES ESTUARY TO THE SOUTH, THIS ESSEX TOWN HAS EVERYTHING YOU NEED. WITH ITS 800-YEAR-OLD CHURCH, ST MARGARET’S, AT THE CORE, STANFORD-LE-HOPE HAS MORE OF A VILLAGE FEEL, ALBEIT A LIVELY ONE. THE FRIENDLY TOWN IS HOME TO AROUND 20,000 RESIDENTS AND HAS A GREAT SELECTION OF SHOPS, PUBS AND RESTAURANTS

Stanford-le-Hope has all the basics across the High Street and King Street, but if you’re wanting some serious retail therapy you would be better served heading out of town. You won’t need to go far, though – with both Basildon’s Eastgate Shopping Centre and Lakeside Shopping Centre close at hand, you’re spoilt for choice! Lakeside has a whole host of added attractions to explore too, from the somewhat predictable cinema and bowling, to the more novel Rock Up climbing centre and Immersive Gamebox, to the slightly bonkers Upside Down House and Hot Tub or BBQ boats on the lake!

On the whole, nightlife in Stanfordle-Hope is a low-key affair, but there are some lovely local options including traditional pubs. The Inn on the Green is a firm favourite with locals but there are plenty to explore, both in town and in the surrounding villages. Gino’s Taverna is popular for Italian food, and there’s a great selection of Indian restaurants.

The town is served by Stanford-le-Hope railway station. Thanks to its proximity to the capital and its c2coperated London, Tilbury and Southend line rail connections, you can be in London Bridge in under an hour. Perfect if you work in the city, or work from home but need to maintain regular links to London. There are also plenty of employment opportunities locally with many residents working at Lakeside, or in the businesses along the north bank of the Thames.

You needn’t go far from home for a fun family adventure. In town, Hardie Park is a joy – run by local staff and volunteers, there’s a cafe, play area, skate park and busy events programme. You can even pick up a refurbished bike at Old Spokes Home cycle hub!

If you fancy a walk, Thameside Nature Discovery Park is less than two miles away on the Thames Estuary; perfect for birdwatching and ship watching. With great rail connections and the A13 on the doorstep, London, Canvey Island and Southend-on-Sea are all also easily accessible for great days out.

SO RESI HOPE GREEN

Experience a new, greener way of life. This superb collection of 153 two, three and four bedroom houses and apartments are set within an ecological reserve, making Hope Green the perfect relaxing base for couples and families – quiet streets, open play areas and meadowland are right on the doorstep. There’s even a brook running through the site.

SO Resi Hope Green is one of Britain’s first zero carbon developments. Built in partnership with ilke Homes, the houses and apartments have been carefully crafted using advanced materials and modular building techniques to give them impressive eco credentials. The beautiful shared ownership homes reduce net energy use and shrink heating, lighting and water bills. In fact, there’s even a selection of Zero Energy Bills homes available. ilke’s proven quality has earned it accreditations from BOPAS, and Premier Guarantee and NHBC approval.

Internally, the homes are all finished to a high standard with Karndean flooring to all wet rooms and Beko and Indesit home appliances, with optional extended five-year warranties for added peace of mind. There is ample cycle storage and car parking.

The development also enjoys pedestrian-friendly streets, cycleways and walkways connecting it to the town – all lit sensitively at night for safety – and is located just a five-minute walk from Stanford-le-Hope station for an easy commute into London or a day out at the seaside!

soresi.co.uk/find-a-property/so-resi-hope-green

From £147,750 for a 25% share of the full market value of £492,500

STAMP DUTY EXPLAINED

THE AMOUNT YOU ARE CHARGED IN STAMP DUTY DEPENDS ON BOTH YOUR PROPERTY PURCHASE AND YOUR STATUS – WE LOOK AT THE TAX IN CLOSER DETAIL

Stamp Duty Land Tax, often referred to as SDLT or just Stamp Duty, is a tax paid to the Government when freehold property or a leasehold home is purchased, based on the purchase price. The tax has to be paid within 14 days of completion, but your solicitor will usually ask for it in advance.

The rates of Stamp Duty vary from zero up to 15%, with lower rates for first time buyers and cheaper properties and higher rates for limited companies, second home owners, nonresident foreign buyers and expensive properties. The Government can vary the rates – for example, the “Stamp Duty Holiday” that ran from July 2020 to June 2021 removed Stamp Duty on the first £500,000 of a property purchase to give the market a boost after lockdown.

Changes were made to rates again in the mini-Budget last September, when then Chancellor Kwasi Kwarteng made what was to have been a permanent change, increasing the residential nil-rate tax threshold – the part on which no SDLT is charged − from £125,000 to £250,000. He also increased the nil-rate

band for First Time Buyer’s Relief from £300,000 to £425,000 and raised the maximum eligible property value from £500,000 to £625,000. However, incoming Chancellor Jeremy Hunt moved the goalposts in his Autumn Statement in November, making the changes temporary, with an end date of 31 March 2025. So here is a summary of the situation:

FIRST TIME BUYERS

First Time Buyer’s Relief means that while Stamp Duty becomes payable over £250,000 for most people, for those buying their first home to live in, the nil-rate band is extended to £425,000, meaning that anyone buying a first home for less than

this will pay no Stamp Duty at all. This relief can be used where the value of the house is up to £625,000, with the amount between £425,000 and £625,000 charged at 5%.

To benefit from the relief, buyers must not own, or have ever owned, any residential property anywhere in the world – this includes shares in an inherited home, a buy-to-let property or a holiday home, even if it has been sold. Unfortunately, if just one of the buyers doesn’t meet the criteria, the whole purchase is charged at standard rates instead. From 1 April 2025, the relief will go back to the previous FTB rate of a nil-rate band of £300,000 on a maximum purchase of £500,000.

STANDARD RATES

Where one, or both buyers have owned property in the past (but no longer) or are selling their main home to buy a new main home, then standard rates apply. These are at a lower rate until 1 April 2025, with the first £250,000 being free from SDLT, then 5% on the portion from £250,001 to £925,000, 10% on £925,001 to £1.5m and 12% for more expensive homes. Afterwards, it will revert back to a lower nil-rate band of £125,000 and 2% on the portion

from £125,001 to £250,000, with higher bands remaining the same.

STAMP DUTY SURCHARGE

There is a further complication if, at the time of completion, one of the parties already owns a home, as this means the whole purchase becomes liable for a higher rate of Stamp Duty. The Stamp Duty Surcharge is an additional 3% on top of the standard rates of SDLT for people purchasing a buyto-let, second home or holiday home, but it can also catch out regular buyers if a sale hasn’t completed before a purchase is made. In this situation buyers can obtain a refund of the surcharge if the previous main home is sold within three years.

SHARED OWNERSHIP BUYERS

The situation with shared ownership can be complex as there are two options. The first, “market value election”, means paying Stamp Duty on the whole property value up front (regardless of the share you are purchasing), taking advantage of First Time Buyer Relief if eligible. No further SDLT is payable when staircasing at a later date. The second option is to pay Stamp Duty on the share purchase only, but you may have to pay further amounts when you staircase in the future. Ask your solicitor for advice on the best choice.

THE POWER OF EDUCATION

Homeownership has never been such a topic of debate. No matter where you turn, someone has an opinion − whether it’s forecasting house price changes, talking about mortgage rates or the end of Help to Buy. For a first time buyer, this can make the property market feel like a gloomy place. In fact, when SO Resi surveyed 2,000 18- to 30-year-olds about homeownership, we found that two thirds of respondents knew absolutely nothing about the process of buying, and a fifth hadn’t even heard of affordable housing options such as shared ownership. This rings alarm bells. There is an urgent need for the property industry to do more to educate young millennials and Generation Z, and pull homeownership back within reach. The reality of student debt, the cost of living and the climate crisis means that young people have a greater burden of responsibility than any generation before − so why is there such a mental block when it comes to homeownership? We went back to the schoolroom to find out.

SO Resi launched a brand new education initiative in partnership with A-level students at Fulham

Boys School in February. Our goal was to start the conversation about homeownership as early as possible, and ensure that young people are equipped with the knowledge they need to enter the adult world. And when they are ready to get on the property ladder, whether that’s in one, five or 10 years’ time, they will know how to begin that journey.

We covered everything from the importance of having a home, the difference between renting and buying – and the pros and cons for each – and how schemes like shared ownership can make getting on to the property ladder easier. We challenged the students to start thinking about money and the big purchases in life, like the cost of a deposit, and mortgage repayments.

But our two-session undertaking with Fulham Boys School was just the beginning. We will be using the results to evaluate just how important it is educate on homeownership from a young age. By offering practical education, we want to give young people the best start to life possible. There is no ulterior motive, no profiteering and no sales agenda. We truly believe that when a young person has a safe roof over their

“OUR EDUCATION INITIATIVE WITH FULHAM BOYS SCHOOL IS JUST A FOOT IN THE DOOR TO HOMEOWNERSHIP, BUT THERE IS STILL A LONG WAY TO GO,” SAYS ESAIYAS MOLLALLEGN, HEAD OF MARKETING AT SO RESI

heads, everything else falls into place – whether that’s further education, a career or growing a family. Delivering affordable homes through shared ownership is the key to creating this window of opportunity for young people.

Shared ownership itself continues to go from strength to strength. The product is better now than ever before – SO Resi’s longstanding 1%

staircasing initiative has been rolled out industrywide, allowing shared owners to buy more shares in their home at an affordable rate; there is a £500 annual repairs guarantee for the first 10 years; and the lease length is 990 years, so you know that your home will be yours for life.

At SO Resi we are continuing to invest in the product, from digitising our service to outreach initiatives, such as the education enterprise with Fulham Boys School.

To find out more about shared ownership or the new homes with SO Resi, visit sharedownership.co.uk

THE SHARED OWNERSHIP MORTGAGE MARKET

JON LORD, MD AT AWARD-WINNING SHARED OWNERSHIP MORTGAGE BROKER METRO FINANCE, TALKS ABOUT AFFORDABILITY FOR FIRST TIME BUYERS IN THE CURRENT MORTGAGE MARKET

Who has £61,000?

Twenty or so years ago (maybe 30!) when I bought my first home is was relatively easy, despite what an older generation say about massively higher interest rates in those days. We didn’t really have the problem of house prices massively outstripping income (back then it was around five times income, now it’s closer to 10 times). And having personally worked in mortgages and affordable homes since 1996, this has caused me to worry! I’m concerned for the sake of my young son and how he’ll ever be able to afford his own home if prices continue to outstrip income. It’s odd that I worry, because I know there is a method to buy – multiple methods in fact.

But first, let me show you why I worry. (By the way, I’m not actually a worrier by nature!)

The average house price today is £296,000, which incidentally is £33,000 higher than October 2021! To buy this average house or flat with the average deposit [source: Barclays] of £61,000, you’d need an income of £53,000. Now! Where I come from these are not “average numbers” −

£61,000 deposit and income of £53,000 is out of reach to most. Most people don’t save £61,000 by the

time they’re ready to buy. So, this average is derived from people who actually accessed this kind of money, and purchased successfully − not the average savings of the ones who didn’t buy.

The option for older generations like me was to buy a terraced house on the classic “£99 down and move in” – but this doesn’t work any more because most terraced houses have already breached the point of being affordable for the majority. And 100% mortgages are virtually non-existent.

So, while interest rates might be slightly higher right now, that’s not really the big issue. The fundamental “problem point” is that house prices are far higher than income levels of normal people. And incidentally, on the subject of higher interest, if you borrow less, you’re not as proportionately impacted by increased rates... in other words, it’s not as punishing if you can get on the ladder with a smaller mortgage.

Roll on shared ownership –now of course I am completely biased, I run a business that’s built on the foundations of shared ownership. However, the fact is that this product fixes all the problems of unaffordable homes.

1. It’s 40+ years old and a Government scheme – 40 years doing the same thing is credible (it hasn’t needed to change)

2. It makes house prices flexible by tailoring the value to what you can actually afford

3. The entry deposit is massively reduced, starting at 5% of the share

4. The mortgage amounts are much smaller than buying outright, thus

proportionately less impacted by higher interest rates.

No other affordable home product comes close to doing all this. No other affordable home product can offer 66 different price options (shares 10% to 75%) for one property!

Shared ownership in action:

Average house price £296,000

• Income required for 25% share = £30,500

• Deposit required for 25% share = £3,700

Or, let’s say a £550,000 flat in London

• Income required for 25% share = £67,000

• Deposit required for 25% share = £6,875

Compared to buying outright, the income level required for average house prices (£296,000) has reduced by £22,500 and the deposit has reduced by a whopping £57,300 when using shared ownership

Now, of course, you don’t own the property outright like you would with a conventional purchase – but you could if you “staircased” at a later date, which is simply buying more shares over the years. Most shared ownership homes allow this option. There’s even an option to buy from 1% extra each year on the latest model of shared ownership.

You don’t have to buy more shares, you can just remain at your start share if that’s what you prefer.

Shared ownership is flexible and the solution to the huge problem of prices outstripping income.

metrofinance.co.uk