FirstRungNow.com has launched a service on its site, provided by First Home Direct that offers a Right to Buy scheme.
A survey on first-time buyers’ website FirstRungNow.com has revealed that 99% of aspiring first-time buyers think that rent money is dead money and that they wish that some of their rent was going towards their first home.
88% would like an option to buy the place they were renting if they liked it and even more would like to be able to make the place more their own in terms of décor.
This brand new scheme allows aspiring home-owners to rent from a wide range of properties, paying a small premium on their rent and an option fee, typically less than £3,000.
In exchange, the tenant will have an option to buy that property at an agreed price at a later date. No deposit is required and the first-time buyer is free to improve and decorate the home as they please and will benefit from increases in the value of the property.
Ben Whitaker, managing director of First Home Direct, says: “With our new service, a new two bedroom apartment worth £130,000 could be had for as little as £630 a month and an option fee of £2,600.
“If property prices continue to rise at 5% a year, this apartment would increase in value by £569 every month, making it worth £150,000 in three years. And all one will have to pay for it is just £136,000, giving the renter an instant £14,000 of deposit.”