Conservative-controlled Cherwell District Council is thought to be the first local authority in the UK to explore the piloting of an innovative new approach to help local people finance self-build homes.
From 3 April, people will be able to apply for accessible mortgages on homes at Graven Hill in Bicester, which will be, when complete, the largest self and custom-build development in the UK. The proposed scheme would work in a similar way to the Government's 'Help to Buy' loan for new-build homes. Under the proposals for Graven Hill plots, lenders will indemnify up to 20% of each mortgage meaning borrowers will only require a 5% deposit to purchase their build land.
The Council has allocated up to £2.5 million in development finance to assist with the construction of the self-build homes. The criteria for the mortgage scheme stipulate that applicants must have a local connection with Cherwell District.
Councillor Dan Sames is a District Councillor for Bicester South and Ambrosden Ward and a Non-executive Director of Graven Hill. He said: "Graven Hill is a pioneering development. So many people love the dream of building their own home but can find the up-front costs off-putting. I’m proud that the District Council is exploring a way to offer our own residents, and people who work locally, this innovative solution to help make their build more manageable. This is currently only a pilot scheme, but I am confident it will be a major benefit to those who use it."