New £19million Affordable Home Loans Fund targets 600 affordable homes by 2020
Stormont Executive press release - Department for Social Development
Housing Minister Nelson McCausland and Finance Minister Simon Hamilton have launched a new £19million Affordable Home Loans Fund.
The fund, which will provide up to 600 affordable homes across Northern Ireland over the next six years, is the local application of the Get Britain Building scheme, which was set up by the UK government, utilising Financial Transaction Capital lending, to increase housing supply and support the construction industry.
At the launch of the first homes to be released under the scheme, at Mountview Drive, Lisburn, Housing Minister Nelson McCausland said: “The Affordable Homes Loan Fund represents a £19million scheme which could potentially deliver 600 new affordable homes by 2020. To help us achieve this target, I can confirm today that three Housing Associations have been successful in bidding for funding from the Affordable Home Loans Fund.
“Apex, Clanmil and Oaklee Housing Associations all submitted exciting and innovative proposals that will increase the supply of affordable homes in Northern Ireland, as well as bringing empty homes back into use. At Clanmil’s Mountview Drive development in Lisburn today, I saw for myself the immense value and potential of this Fund in providing high-quality, affordable homes to first-time buyers through an equity share scheme.”
Finance Minister Simon Hamilton also attended the launch today to witness the first scheme funded with Financial Transaction Capital Lending in Northern Ireland. The Minister commented: “The launch of the Affordable Home Loans Fund is good news both for the housing market and for Northern Ireland’s construction industry. The 600 homes provided through this Fund will provide an all important step onto the housing ladder for many people, but will also promote economic growth, helping create and maintain jobs in the construction industry.”
1. The Affordable Home Loans Scheme is financed through financial transaction capital funding via loans to Housing Associations, in much the same way as the GB Get Britain Building Fund operates. The Department for Social Development asked local developing Housing Associations to submit proposals to access this interest-free loan funding for the provision of new affordable homes and the refurbishment of empty homes.
2. The affordable homes made available through the Affordable Home Loans Fund will be offered for sale on a shared equity basis, with purchasers buying a starter share and paying an initial low rent on the remaining share. Details of the shared equity schemes are available from the individual Housing Associations involved, and will be rolling out throughout 2014 and beyond.
3. The Affordable Home Loans Fund, and any associated shared equity home-buy models, is offered in addition to the existing Northern Ireland Co-ownership Housing scheme. Co-ownership continues to be supported by the Department for Social Development as a key delivery mechanism for affordable homes, and these new schemes are complementary to it.
4. Photos can be viewed later today on http://www.flickr.com/photos/niexecutive/collections/72157626632064777/
Belfast Telegraph Digital