Home Reach: Part Buy Part Rent with heylo

Home Reach

Who is heylo?

Launched in September 2014, heylo has created one of the largest home ownership programmes in the UK, offering a number of different routes to owning your own home. heylo works with housebuilders such as McCarthy & Stone across the country, offering Home Reach, a part-buy-part- rent option on new build properties.

There's no catch, it's not magic, heylo is simply about helping you with an alternative way to buy a new McCarthy & Stone home.

Home Reach... making home ownership accessible

Like Help to Buy, with Home Reach, you buy a share of your chosen McCarthy & Stone home and pay a monthly rent on the part you don't buy. 

With the McCarthy & Stone arrangement you can initially purchase between 50% and 75% of your chosen home and heylo will become your landlord, granting you a 125-year lease. This means you will be able to live in your home as if you've bought it outright. You can buy more of your home in the future and stop paying rent on that part.

Available at the following developments

Why Home Reach?

  1. An affordable way to buy a brand new McCarthy & Stone apartment
  2. Provides security of home ownership
  3. Freedom to decorate and improve your home
  4. Ability to increase the level of ownership at any time
  5. Flexibility to sell and move at any time
  6. Benefit from any increase in property prices

Eligibility...

You are eligible to purchase a Home Reach property in England if:

  • Your household income does not exceed £80,000 per annum for homes outside of London (£90,000 in London)
  • You have the funds to buy your share
  • You are a first-time buyer, or own a home but cannot now afford to buy outright a suitable property
  • The shared ownership property will be your principal and only home
  • You have passed an affordability check, demonstrating you are financially able to purchase the share value and support the monthly costs

Finding Home Reach properties...

The McCarthy & Stone developments with Home Reach properties available can be found on both the McCarthy & Stone and home reach websites:

https://www.mccarthyandstone.co.uk/
https://www.homereach.org.uk

Here you can register your interest for a specific development or property and a member of the sales team will contact you to discuss your requirements and arrange a viewing.

Home Reach... A More Affordable Way To Buy

Smaller capital requirements and affordable monthly payments make it easier to buy the home you've always wanted.

You decide how much of your home you would like to buy, with ownership share up to 75%. This percentage may vary across locations, please see the sales office at your preferred development for more information. You are able to purchase your share with proceeds from the sale of an existing property and/or cash savings.

On the share you don’t own, you will pay rent of 2.75% of the unsold value. This will be paid monthly by direct debit.

Example...

 £200,000 £250,000 £300,000
 50% share value£100,000£152,000£150,000
Monthly rent  £229£286£344
 Monthly service charge & ground rent£244 £244£244
 Monthly combined cost£473£530£588

Figures above are based on a Home Reach lease with an initial rent of 2.75% on the unpurchased property value increasing by RPI + 0.5% each year, plus indicative values of service charge and ground rent which are payable to McCarthy & Stone. Your home may be repossessed if you do not keep up with payments on your shared ownership lease. You will also need to consider the responsibilities and associated costs involved with owning a home (such as utilities, council tax, contents insurance). The figures shown above are illustrative and are correct at the time of print.

Buying a Home Reach Property With McCarthy & Stone

McCarthy & Stone’s sales team will be able to help and guide you throughout the sales journey to own your new home

Home Reach Timeline

 

What's Included In Your Home Reach Lease? 

The lease sets out:

  • A description of the property including its boundaries and a guide to which parts are your responsibility – as a leasehold property, it will also contain any restrictions or obligations flowing from the superior leasehold title, such as the payment of ground rent and service charge
  • The start date of the lease and the share that you have bought
  • The amount of rent that you must pay, together with other amounts due under the lease
  • The rent increase, linked to the Retail Price Index plus 0.5% each year
  • Your responsibilities as a leaseholder, such as repairs and maintenance of the property and those of heylo as landlord under the lease
  • The method by which you can purchase additional shares to own more of your home in the future
  • The method by which you can move home, either by selling your share or selling the whole property

What Are Your Rights And Responsibilities?

You are responsible for all utilities bills, internal repairs (external repairs are paid for through the service charge) and redecoration of your property. It’s your place and your space to make your own!The only exception would be if you wanted to make any alterations . For this you would need to apply in writing to heylo outlining the changes you would like to make, which may also need to be approved by McCarthy & Stone. McCarthy & Stone and heylo will review the application to ensure the works are being planned and undertaken properly.

Once You've Moved In...

You will be welcomed by your McCarthy & Stone house manager who will help you settle into your new home meet your new neighbours. Once you've moved in, a member of the heylo team will be in contact. Your welcome letter will outline the basis on which we will collect your rent and who to contact regarding any questions you may have about your property and lease as well as answering any questions you may have on stair-casing or selling.

Retirement Living To The Full with McCarthy & Stone

Let our experience enhance your experience of later life. We’ve been building outstanding apartments in prime locations for 40 years to suit all lifestyles and stages of retirement.

All our properties are designed to make living easier and are built to high standards – just two of the reasons we’ve been awarded the 5-star rating for customer satisfaction in an independent survey by the Home Builders Federation every year since the awards began. We are the only housebuilder of any size or type to ever achieve this.