Home Ownership Loans Application Form - Wigan Council

Wigan Council’sAffordable housing schemeApplicationForm

Affordable Housing Scheme Application Form2 Wigan Council’sThe mortgage lender would receive the amount outstanding on the mortgage 3Affordable Housing Schemeand any difference would then be retained by the occupier.●●Do you live, work or have a family connection withWigan Borough?●●Are you struggling to get on the property ladder?If so, our affordable housing scheme could help.What is the affordable housing scheme?Wigan Council’s affordable housing scheme is aimed at giving first timebuyers access to affordable homes on new housing developments.How does it work?It works by offering an equity loan from the council to qualifying purchasers,for example 30% of the property value as a non-interest bearing loan. Thismeans that you could be able to purchase a selected property on a newdevelopment in the borough, but only be required to secure a mortgagefor 70% of the purchase price through a high street lender. A deposit willbe required. You would own the property outright, and could purchase theadditional equity as and when you can afford it. You will not be required topay any rent on the property.This loan would then be repaid by you:●●when the property is sold, or●●if you wish to purchase additional equity up to 100% or●●up to twenty five years later (check individual scheme)You can sell the property at any time on the open market as long as yourepay the equity loan to the council. You must agree to use the home as youronly or principal home.ExampleInitial purchaseProperty value = £100,000Deposit required minimum 5% = £5,000High street mortgage required = £65,000Council’s second charge equity loan of 30% = £30,000When moving onProperty valued and sold at £120,000Purchaser required to pay back to council 30% of thecurrent value = £36,000Please note: If the property is valued below the original purchase price e.g.£85,000, the mortgage lender would receive the outstanding amount on themortgage and the council the remaining amount, which may be less than the30%.Can I apply?Applicants will need to meet certain qualifying criteria relating to your localconnection with the borough, and an individual affordability assessmentwill be carried out to ensure that you are suitable for the scheme. Thisapplication form will be used to consider whether you qualify for the scheme.Local connectionWe will check that you meet the following criteria:You must live, work or have a long standing family connection to WiganBorough. This would mean you have lived in the borough for the last sixmonths, or for three out of the last five years.Alternatively you may have been permanently employed and your work basehas been in the borough for the last six months, or you may be moving totake up an offer of employment and will be based in the borough from nowon.Financial assessmentYour independent financial advisor will undertake an affordability assessmentto ensure that firstly, you cannot afford to purchase a similar property inthe locality without the assistance of the affordable housing scheme, andsecondly that you can afford to fund the affordable value of the homethrough a mortgage, loan and or savings. Your advisor will look at yourincome, outgoings and outstanding debts to establish that the mortgage willbe affordable for you now and in the future. We will also check that you havea minimum 5% deposit and savings to pay for fees and moving expenses.Affordable Housing Scheme Application Form

Affordable Housing Scheme Application Form4 5Things to think about●●If you have children, have you checked availability of places at localschools? There is no guarantee that when you move into an area, therewill be availability in local schools, please check this with the school(s)you are interested in.●●If you are successful in obtaining a property through the scheme, canyou afford to fund the deposit, removal costs, conveyancing fees and paythe mortgage? This is very important. If you do not keep up the paymentson a home then you could lose it.●●Home ownership is a long term financial commitment. You must ensurethat you budget for regular bills and outgoings, as well as the upkeep ofyour property. For ideas and tips on budgeting, go tohttp://moneyadviceservice.org.uk/●●There will be a monthly or annual service charge payable for sometypes of accommodation (often apartments) or an estate charge forsome developments. You will be notified of all service charges or estatecharges and what they cover by the developer. You will need to budgetfor these monthly outgoings when deciding to purchase an affordablehome.What properties are available?Properties available via the scheme will be advertised on the council’swebsite. Follow this link: www.wigan.gov.uk/Services/Housing/AffordableHomeOwnership/They will also be advertised by individual developers and in Wigan and LeighHousing Property Shops, as well as on their websites.Where can I find out more information?If you have any queries at all, please contact the Housing Strategy Team:Places Directorate: Economy, Waste and Infrastructure,Housing Services,Wigan Council,PO Box 100,Wigan,WN1 3DS.Phone: 01942 489206Website: www.wigan.gov.ukThank you for your interest in the Council’s Affordable Housing Scheme. Thequestions on this form will help us to decide if you are eligible for the scheme.What happens next?When you have completed this application form, please return it to us at theabove address along with any supporting information required. We will checkyour application form and write to you within 10 working days, to let you knowthe outcome of your application.If you need any help filling in this form or understanding the schemeinformation, please contact us on the number above.Please note, we will use some of the information you provide on this applicationto monitor our scheme. We want to make sure it is accessible.Supporting InformationYou will need to provide us with the following information along with yourapplication form. Please tick the box if you have enclosed it:□□proof that you have been resident in the borough for the last 6 monthsor 3 years out of the last 5. This could be a copy of your Council Tax Bill,bank or building society statement, wage slip; or□□proof that you have been permanently employed and based for work inthe borough for a minimum of 6 months. This should be a letter from youremployer; or□□proof that you have accepted an offer of permanent employment in theborough. This should be a letter from your employer; and□□proof of National Insurance Number and ID documentation (eg passportor driving licence) for you and any joint applicant/s, if applicable.□□proof of income for all joint applicants for the last 3 months.Affordable Housing Scheme Application Form

Affordable Housing Scheme Application Form8 92b) Please provide details of your previous addresses for the past 5 years.AddressTenure(eg private renting/renting from council/owner occupier)Dateyou left2c) What connection do you have with the borough(eg. do you live or are employed in the borough? Have family in the area?)_____________________________________________________________3) About your new home3a) What type of properties are you interested in? House Apartment3b) If you are interested in an apartment, which level would you consider?Any Ground Floor First Floor or above3c) Are there any specific areas or developments that you wish to live in theborough? If yes, please specify._______________________________________________________________________________________________________________________________________________________________________________________3d) Do you have a disability or illness that means you need specialrequirements in your new home?(eg. do you require ramped access for wheelchair etc) YesPlease give details_____________________________________________________________No4) About your incomePlease note, you will be required to have a full financial appraisal carried outby an independent financial advisor or mortgage advisor prior to propertyreservations being made. This will consider your income and outgoings, plusyour ability to secure and repay a mortgage.4a) Employment detailsEmployer’s NameEmployer’s AddressLocation ofemploymentHow long have youworked for yourcurrent employer?Is this worktemporary orpermanent?ApplicantJoint applicant4b) Are you self employed? If yes, you will be asked to provide full accountsand earnings for the previous 2 full tax years.4c) If you are not currently employed in the borough, are you taking up apermanent offer of employment?If yes, please give details of your employer’s name, address and the datethat your employment will start.YesYes_______________________________________________________________________________________________________________________________________________________________________________________NoNoAffordable Housing Scheme Application Form

Affordable Housing Scheme Application Form4d) Income details10 11Gross payState benefitsPensionMaintenanceOther(please give details)Total4e) SavingsSavingsInvestmentsTotal4f) EquityApplicant (£ per month)ApplicantJointapplicantJoint applicant (£ permonth)Do you currently own or part-own any property in the UK or abroad?*If yes, please provide the address of the property.Yes_____________________________________________________________*Please supply a copy of a current estate agent’s valuation of your home andconfirmation, if applicable, of the amount of outstanding mortgage.Estimated value of propertyTotal mortgage outstandingMonthly mortgage paymentIf your home is to be sold, howmuch will receive from the sale?4g) Is this property currently for sale?ApplicantJointapplicantYesNoNo4h) Have you had a County Court Judgment in the last 3 years?4i) Have you got sufficient savings to pay the deposit,moving fee and expenses?5) Additional Information5a) How did you find out about the scheme?YesYesWord of mouth WALH Property Shop/ office Local paperAdvert/ poster Housing Association OtherInternet Site Development Office (please specify)_____________________________________________________________5b) Do you work for or are related to anyone who works forWigan Council or Wigan and Leigh Housing?Yes5c) Are you or related to a Councillor or WALH Board Member?YesIf you have answered yes to either 5b or 5c, please give details__________________________________________________________________________________________________________________________5d) Is English your first language? Yes NoIf no, please specify __________________________________________5e) Is there anything else you think we need to know or would like to tell usabout your application? Please do so in the space provided:___________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________NoNoNoNoAffordable Housing Scheme Application Form

12Affordable Housing Scheme Application FormAuthority to obtain details from another agencyWe may need to contact other agencies for information about you so that wecan process your application. We need your permission before we can dothis. This could include solicitors, financial advisors, bank, building society,other financial institution, current or former landlord or any other relevantagency.We may not be able to process your application without this information.Please sign (along with any joint applicants) below to confirm:Sign ________________________________Sign ________________________________Date ____________________Date ____________________We can make this information available in other formats and languages onrequest.Produced October 2011MCT-11-643