New guidance for local authorities and developers on delivering affordable homes has been made available by the Homes and Communities Agency (HCA).

The body's Economic Appraisal Tool (EAT) allows local authorities to create realistic affordable housing targets in order to meet their requirements, based on a calculation of residual land value.

Currently the HCA is encouraging bids for grant funding to be accompanied by an EAT submission in order to determine grant levels and demonstrate the value that a social housing grant would bring to an area.

Richard Hill, director of investment and renewal at the HCA, said the planning tool will help the housing market and the delivery of affordable homes.

"Every partner needs to know what the other can bring to a development opportunity, and crucially, what they intend to take away," he commented.

"Our EAT will help in that transparent process."

Rising house prices and shared equity schemes like HomeBuy Direct are helping to restore confidence to the beleaguered housing market, according to housebuilder Charles Church Southern.

Tracey Lee, sales director for the developer, said shared equity schemes are ideal for first-time buyers with a relatively low household income as it enables them to find an affordable home with ease.

"Likewise, part exchange and a host of alternative incentives such as stamp duty paid on selected plots, are allowing our purchasers to buy comfortably and without financial worry," she added.

Charles Church Southern has a range of properties in the south designed to cater for a wide range of househunters, Ms Lee continued, from first-time buyers without a deposit all the way to large families looking for a spacious home to settle down.

New affordable homes are soon to open in Coventry after what was intended as a private development was bought by Mercian Housing Association.

Williamson Court in Earlsdon, a development of mainly two-bedroom homes, has been funded with a grant of just over £4 million from the Homes and Communities Agency (HCA) as part of an initiative designed to bring more properties into use.

Older people living in housing association accommodation, whose children may have moved away, will be invited to make the switch to the smaller properties to free up larger houses for young families.

"The scheme matches our criteria to support high quality, affordable homes to meet local needs, plus it has the added benefit of freeing up more family homes to make better use of the local housing stock," commented Simon Lett, Investment and Regeneration Manager for the HCA.

Househunters in the south-west of England may soon benefit from more affordable homes after the Homes and Communities Agency announced that it has shortlisted the region for a £65.7 million funding boost.

Some 25 stalled housing projects in the south-west may be eligible for funding through the HCA's Kickstart scheme, speeding the delivery of new affordable homes.

Colin Molton, regional director of the HCA in the south-west, said the funding will help to provide over 2,000 new properties and job opportunities in the region.

"This is an important announcement for the home building industry that will see work starting on sites that could not previously progress because of the wider economic crisis and collapse of mortgage availability," added Stewart Baseley, executive chairman of the Home Builders Federation.

Builders could be at work creating some 22,000 new affordable homes within weeks, according to the House Builder's Federation (HBF).

The government announced this month that 270 house building projects have been shortlisted to receive a share of £925 million of funding designed to kick-start developments that have stalled.

As well as creating more affordable homes for the UK, the extra cash is hoped to create 20,000 jobs within the construction industry.

Steve Turner, head of communications at the HBF, said the money is very welcome although it remains to be seen how quickly it can be processed so that it can filter through.

"There are enough sites out there to meet the criteria so it is a very positive step and the criteria is aimed at getting sites started as quickly as possible," he commented.

Some £1.2 billion has been planned for investment in housing this year by the government, including £500 million to support construction in local communities.

Developer Barratt is lending its support to this year's Eastbourne Airshow by donating £8,000 towards the event, as well as giving away a selection of prizes.

The house builder will also be holding a first-time buyer day at its new H20 apartment development just a few minutes away from the show, where househunters can visit to learn more about how they can find an affordable home.

As well as viewing the apartments, there will be the chance to speak to Barratt's sales team about shared equity schemes such as HomeBuy Direct, as well as an independent financial advisor to assist with mortgage queries.

Potential buyers will also be entered into a free prize draw to have a chance of winning a helicopter ride for two at Airborne.

Government plans to provide new sustainable and affordable homes in the UK have been given the thumbs-up by the Homes and Communities Agency (HCA).

Housing minister John Healey has announced the locations for four new EcoTowns, as well as early results of the consultation on the definition of zero carbon and the first list of successful bids for low carbon infrastructure funding.

The four EcoTown sites are in Hampshire, Oxfordshire, Greater Norwich and St Austell.

Robert Napier, chairman of the HCA, said the announcement is good news for the government's efforts to tackle housing need and climate change.

"I personally hope that local residents will embrace these new settlements as an environmentally sustainable way of providing new and affordable homes for local people who need somewhere decent to live," he commented.

More affordable homes are due to be built in Yorkshire and the Humber after the Homes and Communities Agency (HCA) unveiled a major investment plan for the region.

More than 70 housing and regeneration bodies met at the launch of the HCA's £1.1 billion regional investment strategy on July 10th, where the body outlined how the cash will be spent.

David Curtis, regional director for the HCA, commented: "Our regional investment strategy for 2009-11 incorporates more than £700million worth of investment over the next two years, through a number of initiatives."

Some £250 million will be allocated to build 5,400 new affordable homes in the area and help first-time buyers into home ownership through shared equity initiatives like HomeBuy Direct.

The announcement comes shortly after news that the HCA plans to team up with the Mayor of London to invest £32 million in regeneration and affordable housing schemes in Greenwich.

Source:Direct News 14/07/09

People looking for a mortgage may need to take a gamble to get the best deal in the current climate, according to one financial advice site.

The number of mortgage seekers choosing fixed rates in June reached a peak of 83 per cent, figures from John Charcol have revealed.

However, the firm stated that it expects trackers to become the more attractive option in future and more people try to cash in on the record low base rate of interest.

Darren Cook, head of mortgages at Moneyfacts.co.uk, said fixed rates have historically enjoyed popularity but with economists predicting that the base rate will stay low until the middle of next year, it may be worth switching to a tracker.

"The key there is to make sure that you take it within a short amount of time, or possibly a tracker with no extended tie-in, meaning that you can bail out of the mortgage when rates start going up and then transfer to a fixed-rate," he advised.

Source:27/07/09

A leading housing provider has chosen Bourne-based building contractor FE Peacock to deliver affordable homes.

Circle Anglia, which manages over 46,000 homes and provides support services for some 180,000 residents in the UK chose the firm to join its framework agreement partnership. This means that Circle Anglia can employ FE Peacock to build new affordable homes or renovate existing properties without going through a lengthy tender process. Karl Hick, managing director of FE Peacock, commented: "We are delighted to have been appointed by Circle Anglia which highlights our commitment to deliver good quality but affordable homes." The building contractor also has similar agreements in place with the Northern Lights Group, Sanctuary Housing, Metropolitan Housing Partnership and Cross Keys Homes.