Affordable homes boost for key workers and first-time buyers

Plans for a Cambridgeshire town's first development of affordable homes in nearly 10 years would help key workers, first-time buyers and other local people priced out of the property market.

Housing association bpha is applying for planning permission to build 55 new homes, a mixture of one, two and three-bedroom properties, on land off Cambridge Drive in St Ives.

Around half the homes would be offered at affordable rents to those on the housing register, with the remainder offered through shared ownership schemes.

These would be made available to key workers – frontline public sector staff such as nurses and police officers – as well as to first time buyers and others on low incomes.

Latest figures from the Land Registry show the average house price in Cambridgeshire now stands at more than £210,000.

With average earnings at around £25,000 a year, demand for affordable homes is at an all time high.

As the Government's HomeBuy agent for Cambridgeshire, bpha is responsible for marketing low cost home ownership schemes across the county.

The shared ownership homes at Cambridge Drive would be offered under a scheme known as New Build HomeBuy. Under the scheme, buyers are able to purchase a share in the property using savings and a mortgage, with the remainder of the cost met by bpha.

In time, buyers can choose to increase their shares, giving them the help they need to get on the first rung of the property ladder.

David Keeling, executive director for development at bpha, said: "As house prices continue to rise, more and more people are struggling to get that first foot on the property ladder.

"This is particularly true in Cambridgeshire, which is among the most expensive places to live in the country. These homes would provide a much-needed boost in the provision of affordable housing in St Ives and have a knock-on effect on local recruitment and retention in the public sector.

"The site is located close to local amenities, including a health centre, shops and a large play area which adjoins the site. We look forward to working with local residents as we develop our plans to ensure they best meet the area's needs."

bpha is currently meeting with neighbours of the site to explain the plans in more detail and listen to their comments. After this consultation, it is expected that a planning application will be made to Huntingdonshire District Council during September.

The development would be built with funding of £800,000 from the Housing Corporation.