AFFORDABLE HOME OWNERSHIP BLUESTONE MEADOW, BROUGHTON In partnership with Flintshire County Council, we are pleased to inform you of the release of 6 x 3 bedroom properties at the above site from Bellway Homes which are anticipated to be completed Summer 2018. To be Nominated as a Designated Person to qualify for the purchase of the affordable units, you must have a local connection, and must not be able to afford to acquire a home suitable for your needs, and the needs of your household at normal market values, and if an owner occupier, not have any further interest in the property owned. Grŵp Cynefin will carry out an affordability and residency check. Properties available are as per attached schedule:- The plots are 3 bedroomed semi-detached houses Please visit Grŵp Cynefin and Bellway Homes website for property specification, floor plan and site plan All properties are Freehold The above plots are being sold on a shared equity basis (70/30). You purchase the property at market value, but paying a sum equal to 70% of market value, the 30% notional equity is secured as a second charge in favour of Flintshire County Council. There is no monthly rent or interest payable on the 30%. On resale to a Designated Person who is nominated by Flintshire County Council/Grŵp Cynefin, the nominated person will be required to enter into a second legal charge, for the 30% notional equity, simultaneously with the purchase of the property. A sum equal to 70% of market value will be paid to you. You may repay the 30% equity share at any time, but does become repayable on resale. In the event of no Nominations, and when the property is eventually sold on the open market, you will be required to pay to Flintshire County Council a sum equal to 30% of the market value of your property (equity), which will be recycled in affordable housing provision in the County of Flintshire. Mortgage and Deposit You must be able to access a mortgage and minimum deposit of 5% of purchase price. Your mortgage must be repayment mortgage. Prior to making an application for these properties, we would be grateful if you could contact a mortgage lender/mortgage consultant to make enquiries whether or not you
are likely to be eligible for a mortgage. If you have a poor credit history you might not qualify for a mortgage. Bellway Homes Recommend: NHMH - New Homes Mortgage Helpline Contact number: 01206 715415 (Please quote Shared Equity 70/30 Scheme Flintshire County Council & Grŵp Cynefin) Fees Please ensure that you have sufficient savings to meet legal fees, mortgage valuation fee and any other fees/costs relating to a mortgage application. You should generally allow at least 2,000 to cover these fees. In addition you will be required to pay Stamp Duty Land Tax (SDLT). No tax will be paid on the first 125,000 of the purchase price, and then you will pay 2% on the proportion between 125,000 to 250,000. For example, on a house bought for 150,000, you will pay 500 in SDLT. https://www.tax.service.gov.uk/calculate-stamp-duty-land-tax/#/intro Fees to Flintshire County Council You will be required to sign a Legal Charge which is a legal document that secures the 30% notional equity. Flintshire County Council will charge a fee of 300 for preparing this document. Ground Rent and Estate Charge (reviewable) Estate Charge of 126 per annum is payable in respect of maintaining open spaces. Local Residency criteria Designated Person will be considered in date order registered on the Flintshire Affordable Home Ownership register, and must meet the Local Residency criteria as noted below:- PRIORITY 1 To have lived or worked for 3 years continuously, immediately prior to the proposed occupation of the affordable property in the community of Broughton, (Broughton and Bretton East, Broughton and Bretton North, Broughton and Bretton South) or have a strong local connection to the Community, by way of having a parent, brother, sister, child, grandparent or grandchild who is resident in the Ward and who has been resident there for a minimum of three continuous years. PRIORITY 2 If no Designated Person can be identified as noted in Priority 1, Applicants who are considered in the reasonable opinion of the Council to be in need of affordable housing and who have lived or been employed within Flintshire for at least three years Interested? In the first instance, please contact us within 7 days of receiving communication from us to register your interest, and contact Bellway Homes Sales office open Monday and Friday 10.00 17.00, Thursday 10.00-19.00, Saturday and Sunday 11.00-17.00, closed Tuesday and Wednesday. Telephone number: 07580 534191 to view the properties/ obtain further information. Reservation Fee to Developer Bellway Homes requires a reservation fee of 500.00
Please do not reserve your plot until Grŵp Cynefin has provided you with a letter to confirm eligibility. If you wish to apply, what do you need to provide us with? In order that we may carry out an affordability and residency check, please provide information requested below within 7 days of Registering an interest. Please note: If you are late in providing documents/further information within the prescribed time limit, it is possible that you could lose your place, and as a result will then be considered in the next Priority category. The same will apply if the Local Residency criteria has been opened out and you then register an interest, regretfully we will only be able to consider you from the date you register interest. Proof of earnings (if paid monthly copies of last 3 payslips, if paid weekly copies of last 12 payslips) for yourself and your partner (if applicable). If on a Zero Hours contract, please provide details of income earned over the last 12 calendar months. Copy of P60 dated April 2017 If self employed, certified s/e accounts or Inland Revenue tax assessment on Certificate SA302 is required for the last 3 years. Copies of bank statement for last 3 months for every account that you and your partner (if applicable) have. Proof of any other income, e.g. Working Tax Credit, please provide full entitlement letter Private Pension. Proof of savings e.g. Tessa, ISA, Bonds, shares etc. Confirmation from a bank / building society confirming the mortgage available to you and your partner (if applicable) by way of a Decision in Principle letter. Copy of any loan, finance/hire purchase agreements that you and your partner (if applicable) are currently repaying. Latest credit/store card or catalogue statement. If paying child care charges please provide evidence. Proof of at least 5% deposit. If friends/family are providing the deposit, we require a letter from them confirming the amount they will be providing Details of how you will pay the fees involved with buying a house. If family or friends are going to assist you with these costs, please can they provide a letter to confirm this? Proof of local connection for one applicant - please provide a bank statement, P60, loan agreement letter, tenancy agreement, or a letter from the Register of Electors department of Flintshire County Borough Council confirming your address, or letter from employer confirming employment for the last 3 months/years. If the local connection is close family, please provide confirmation of their address for the last 3 years. Proof of I.D Birth certificate, Passport. If your application is approved, what is the next step? If you are eligible to be Nominated for the above development, both financially and as per the residency conditions, you will be given a letter to hand to the developer. At that point you can proceed to reserve your plot and make an application for a mortgage and instruct solicitors. You will be required to sign a Legal Charge which is a Legal document that secures the 30% notional equity.
Your solicitor will explain the process to you. CONDITIONS APPLICABLE AFTER PURCHASING RE- SALE PROCEDURE When you decide to sell the property, you must inform Flintshire County Council or Nominated RSL, in this case being Grŵp Cynefin, of your desire to sell. Grŵp Cynefin on behalf of Flintshire County Council will endeavour to nominate a Designated Person(s) who are registered on the Flintshire County Council Affordable Home Ownership Register for your property. If after a specific time - Nomination Period of 16 weeks, and the property has been actively marketed for sale by the shared equity owner, and it is found that there is no Designated Person(s) who wishes to purchase, you would then be free to sell the property on the open market at open market value, but paying Flintshire County Council a sum equivalent to 30% of the market value at that time, but first discharging the first mortgage. Shared equity owner must be able to demonstrate to Flintshire County Council/Grŵp Cynefin that all reasonable offers have been considered in good faith from Designated Persons. To confirm the market value, Flintshire County Council/Grŵp Cynefin will require a valuation report as certified by a professionally qualified Surveyor who is a member of the Royal Institute of Chartered Surveyors (RICS). The valuation must be from an independent source, i.e. not someone who is either involved with marketing or the sale of the property, or someone representing the seller or purchaser of the property. If an agreement cannot be reached between you and Flintshire County Council/Grŵp Cynefin on the disposal value, it shall be ascertained by an independent qualified valuer nominated/appointed by agreement between the parties, or failing agreement by or on behalf of the president for the time being of the Royal Institution of Chartered Surveyors on the applications of either party and the decision of such valuer shall be final. You will be responsible for the cost. Valuation is valid for 3 months, if sale has not been completed within this period, the original valuer will be required to provide a letter to extend the valuation. Nomination If Grŵp Cynefin does nominate a Designated Person(s) for your property, you must sell the property to the nominated person at market value, or a higher price; the nominated person will be required to enter into a second legal charge, for the 30% notional equity, simultaneously with the purchase of the property. A sum equal to 70% of the market value will be paid to you. We may make more than one Nomination and you should consider the nominations in date order registered on Flintshire Council s Affordable Home Ownership register, but we assume that you would sell to the Nomination who offers you the highest price. Conditions of resale are noted in S106 planning Agreement.
Administration Charge On sale of the affordable property the Owners shall pay to Flintshire County Council or the Nominated RSL, in this instance being Grŵp Cynefin, a sum equivalent to 0.50% of the market value of the percentage share purchased by the nominee on completion of that sale. This is to cover the costs of the nominated housing association (Grŵp Cynefin) in administrating the Flintshire Low Cost Home Ownership Register, and the administrative costs in assessing and nominating a Designated Person(s). Please do not hesitate to contact me if you have any queries, by telephoning the office or calling in. I look forward to hearing from you. Yours sincerely Affordable Homes Team affordablehomes@grwpcynefin.org 54 Stryd y Dyffryn Dinbych LL16 3BW 0300 1112122