To find out more about the £100K Homes scheme please browse our list of FAQs.
What are £100K Homes?
£100K Homes are new, one-bedroom homes available for £100,000. The scheme is led by the Cambridgeshire and Peterborough Combined Authority and is aimed at offering local people affordable home ownership. See more: ‘What are £100K Homes?’
Who are £100K Homes for?
£100K Homes are for people who live or work in Cambridgeshire and Peterborough who want to buy a home but who find themselves struggling or unable to afford to buy one.
How do I buy a £100K Home?
There are no £100K Homes available to buy just yet, but the first ones are set to be ready later in 2020. You will first need to sign our register of interest. You can choose to either receive automatic updates from us when homes become available, or check back on the website to see when £100K Homes are built in the area you want to live.
How is a new home for £100K even possible?
£100K Homes are sold at a discount to their open market value to achieve the £100,000 selling price.
Housing developers often need to build affordable housing as part of planning permission for new homes developments. £100K Homes will count towards those obligations. The Cambridgeshire and Peterborough Combined Authority will also seek to support developers to build £100K Homes.
Where are £100K Homes?
The aim is offer £100K Homes across Cambridgeshire and Peterborough, in towns, cities and villages, as part of new housing schemes.
No £100K Homes are yet available, but the first ones are set to be ready later in 2020. The support and interest of the public will help the Combined Authority deliver them faster and at greater scale. You can register your interest in owning a £100K Home when they become available or sign our register of support if you think they are a good idea.
Will I own the home or is there any shared equity?
The £100K Home would be 100% owned by you. There is no shared equity. As a general rule £100k Homes will be freehold except where the nature of the building requires a share of freehold or leasehold arrangement, e.g in the case of flats or maisonettes. £100K Homes are not a form of shared ownership.
Will there be mortgages available on £100K Homes?
Yes, there will be mortgages available from lenders.
Do I build equity through mortgage payments?
Yes, just like any other home bought with a mortgage, equity is built as the mortgage is paid off. That equity can be used to help take the next step up the housing ladder. Building equity rather than paying out money to someone else in rent is often cited as a primary reason why people want to get on to the property ladder.
Will I be able to take out an interest-only mortgage?
No, only mortgages with an element of capital repayment will be available on £100K Homes.
What happens when I want to sell?
£100K Homes can be put up for sale at any time. See more 'How it works'
Is there a minimum or maximum amount of time I can own a £100K Home?
There are no limits. It is your home so it is your decision. You can put the home up for sale when you like, or you can stay for as long as you like as long as it is your primary residence.
What’s to stop people buying £100K Homes and renting them out?
The £100K Home must be the primary residence of the owner(s). £100K Homes will be monitored to ensure they are not being let or sub-let and doing so would breach the legal clauses on the home. People who already own residential property will not be able to buy a £100K Home in the first place.
Are £100K Homes houses, flats or some sort of micro home?
£100K Homes are one-bedroom homes, which could be houses, maisonettes or flats. They are not micro-homes or any other form of housing or accommodation.
Are £100K Homes only for younger age groups?
No. £100K Homes are for those aged 18 and over who best meet certain criteria.
Why are £100K Homes affordable?
They are sold at a discount to open market value. See more ‘How it works’. Monthly mortgage payments are highly likely to be significantly less expensive than private rent for a similar property. Raising a deposit on a £100,000 property will also be far more achievable than the deposit required for averagely priced home in Cambridgeshire and Peterborough.
Who will build £100K Homes?
Any house builder can potentially build £100K Homes. The Cambridgeshire and Peterborough Combined Authority will support developers interested in building £100K Homes.
Who decides who gets to buy £100K Homes and how?
The Cambridgeshire and Peterborough Combined Authority will manage this process. £100K Homes are aimed at helping people to buy houses close to where they work and in communities where they may have strong connections. Applicants for £100K Homes will be scored against criteria relating to these key aims. The higher they score, the more chance they will have of buying a £100K Home. A full guide to how this works will be published on this website in due course.
What are the main drawbacks of buying a £100K Home?
Owning a £100K Home brings the benefits, but also the responsibilities of home ownership. That means maintenance, bills and other responsibilities fall on the owner. Property prices can go down as well as up and the home may be at risk if the owner does not keep up with mortgage payments.