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600 people sign up to NewBuy

New figures released today by the Home Builders Federation reveal that around 600 people have now reserved new homes through the NewBuy scheme since its launch three months ago.

NewBuy, an industry funded government backed mortgage indemnity scheme, allows buyers to secure their new build home with a 5% deposit.

Since its launch in March, the number of builders and lenders registering for NewBuy has steadily increased, with the fifth lender, Santander, launching its NewBuy product last month.  

Stewart Baseley, executive chairman of the HBF, says: “It is still a challenging market but there are options for people looking to buy their own home. NewBuy, is really starting to take off and allows people to secure a home with a 5% deposit. In addition, many builders operate shared equity schemes that make buying more affordable.

“Reaching 600 NewBuy reservations in such a short time is a fantastic start and clearly demonstrates the customer need.

“Over the coming years NewBuy will make a real difference and help tens of thousands of people realise their ambitions of home ownership.

“In turn this will then help kick-start new home construction, creating economic growth and thousands of jobs across the country.”

At launch there were seven builders signed up, there are now 17.

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  • Tom Cleary 26th June 2012 at 10:55 am

    What would help significantly increase the take-up for NewBuy is to remove the responsibilty of the New Builders controlling the panel of mortgage brokers who are allowed to access the scheme. The only lender we can place NewBuy cases with is Nationwide. HBOS and Abbey will not let us submit cases as we are not “approved” by the New Builders, and having approached them personally, it is very clear that they have no intention of expanding their panel of broker firms. This is not in keeping with a free market…