You may have worked out that you can afford to repay a mortgage of up to 100,000, but where are you going to get the hefty deposit that is needed for that mortgage? Finding the deposit is the main reason that stops first time homebuyers stepping out onto the property ladder. If living with mum and dad it may take years to save up the much-needed money. If living in rented accommodation then it may take a great deal longer. Here are some alternative ways to getting your foot on the property ladder.

Share with friends

If you have reliable friends who also wish to buy property then you could consider sharing the mortgage and the deposit. However of course when sharing these you are also sharing the equity in the property and it is not yours alone.

Family loans

If you are lucky enough to have family that are able to help with the deposit for the mortgage then this may be one way of getting your foot on the property ladder. However borrowing from family or friends can lead to problems, and it has been known to destroy friendships and break families apart, so think carefully about whether you want to take the risk.

The governments rent to home buy scheme

Rent to home buy schemes offered by the Government may be a solution to getting your foot on the property ladder. You pay reduced rent and live in the property on the footing that you buy it within 5 years. However typically with this scheme you only get shared ownership of the property, not full.

Our rent to buy option

We offer a rent to buy option that gives you 100% ownership of the property. With our scheme, you choose a property in the area you want to live in and agree on the purchase price and the period you want to take the option over. Typically, this is in the region of 3 to 5 years. Monthly rent and a deposit are also agreed upon at this time, and once the paperwork has been completed, you are free to move into the property. During the rental period, you can add to the value of the property and any equity that is built up in the property is yours. At any time during the rental period, up to the end of that period, you can purchase the property at the price agreed at the outset, however if you decide not to, then you are under no obligation.

When you choose to buy property this way the start-up costs are very low, you do not have to find a large deposit or look for a mortgage. You are able to move into the property straight away and have ownership of the property from that time. 100% of the property is yours, there is no sharing, and of course, any equity in the property built up during the rental period is yours. What s more, if your circumstances were to change at any time during the rental period, you are free to walk away and pay nothing else.