Sevenoaks Council and Moat first partnered together in 2013 to offer people a rare chance to buy a home with shared ownership on the open market in the Sevenoaks district, with grants of up to £100,000 per property.
Two years on, the first phase of A Home of Your Own has now completed. As a result of the initiative, 12 families have been able to afford a home that was originally out of their reach. Following the success of the scheme, Sevenoaks Council and Moat have decided to launch of a second phase of A Home of Your Own.
A Home of Your Own is exclusively for people who live or work in the Sevenoaks district, with priority given to social tenants. It’s simple shared ownership – part buy/part rent. Launching at Sevenoaks Council’s offices (Argyle Road, Sevenoaks, TN13 1HG) on Monday 15 June at 1.30pm, phase two of A Home of Your Own will assist a further 12 families into shared ownership.
Reflecting affordability pressures across the district, improvements have been made to phase two to help more people on lower incomes access home ownership. Shares start from 35-75%, and the maximum grant has been increased. First time buyers will be able to apply for a grant of up to £162,500, and social tenants will be able to apply for a grant of up to £227,500. In addition, social tenants could also buy outside of the district in one of the neighbouring Kent local authorities.
The scheme is funded jointly by Moat and Sevenoaks District Council, with Sevenoaks’s contribution coming from Section 106 planning gains. This is an innovative and very effective way of using developer contributions to provide more affordable housing and to give more choice. To maximise funding and ensure best value for money, the District Council and Moat agreed to ring-fence any subsequent funds released through staircasing or outright purchase, and reinvest back into this scheme and any other future housing initiatives. This recycling ensures that those in future housing need will be assisted through this initial investment.
Normally, people looking to buy through shared ownership choose a home that is pre-designated as a shared ownership property – usually new build. Instead, A Home of Your Own gives people the opportunity to choose a home from the open market, increasing the choice dramatically. Using existing housing also minimises issues associated with delayed planning and development processes.
With 93% Green Belt, 60% AONB, and land/property values amongst the most expensive in the UK, delivering affordable housing in the Sevenoaks District is an increasingly challenging task. New development opportunities are rare, meaning limited availability of properties for shared ownership. This initiative alleviates some of this pressure, to give more people a chance to own.
Funding for this scheme is provided jointly by Moat, and Sevenoaks Council’s financial contributions received under the affordable housing planning policy. New government policy will restrict local authorities from investing their affordable housing contributions in the future; meaning schemes like this could be in danger. We are keen to work with government to ensure that these sorts of initiatives are protected.
This must also be seen in the context of the extension of Right to Buy to housing association tenants. A Home of Your Own is an alternative to offering large discounts on social homes. Offering social tenants the chance to buy an existing home from the open market, with the benefit and security of shared ownership, means a social tenancy can be re-allocated to someone in housing need.