Ben and Claire have savings of £30,000 to buy a house. They have a four year old child, a typical family lifestyle, good credit history and a household annual income of £40,000.

Ben and Claire prefer older properties and because they are thinking about having a second child they would ideally like to buy a house in their favourite area with at least 3 bedrooms and a nice big garden.

They have already spoken to their Independent Financial Adviser who has indicated that based on their cash deposit and household income, unless they buy a new build property, their budget will be around £170,000.

In their favourite area there are a number of perfect 3 bedroom second hand houses for sale with lovely gardens but asking prices are all around £250,000 and with a traditional repayment mortgage their deposit and household income will not stretch that far.

They consider the benefits of Your Home

With Your Home Ben and Claire can buy their perfect 3 bedroom house at a monthly cost they can afford. Given Ben and Claire’s savings, income, lifestyle and credit history they could afford to buy a 10% share of a 3 bedroom house valued at £250,000. 

They would need to use £25,000 of their savings to buy their share. If the property value goes up, they would be entitled to all of the increase on their share plus 75% of the increase on the share owned by heylo too.

Their remaining savings will pay for associated purchase costs such as, the Your Home fee, valuation, legal costs and the stamp duty.

Ben and Claire’s monthly rent in the first year would be just £916.88.

12 weeks later...

Following a straight forward application process Ben and Claire were approved to buy with Your Home. They found their perfect house in their favourite area, made an offer in line with the RICS Standard Valuation Report, purchased the property and moved in!

Ben and Claire are delighted to have bought the larger home they really wanted – which should be more than big enough if their family grows. 

Not needing to move for a few years means they have time to benefit from their entitlement to any increase in the value of their home. It also means that they have time to buy more if they wish.