The housing scheme helping locals buy houses in second homes hotspot

Dale Spridgeon, local democracy reporter

A council which is facing a “housing crisis” is helping residents to buy houses in their own communities on the open market.

Cyngor Gwynedd’s ‘Homebuy’ scheme helps local people who would otherwise be unable to afford a home in their own communities.

The equity-sharing initiative provides support to eligible applicants.

The Gwynedd Homebuy Scheme was launched in 2022, created by Cyngor Gwynedd it works in partnership with Tai Teg and the Welsh Government.

So far, it has helped 62 households purchase a home and through a collaboration with the Dwyfor Second Homes and Affordability Pilot, the maximum property value eligible for purchase has recently increased.

Welsh Government initiative

The Dwyfor pilot is a Welsh Government initiative testing new policies addressing the impact of second homes, and aims it to improve housing affordability in the Dwyfor area of Gwynedd.

In exceptional cases, properties worth up to £350,000 can now be considered— an increase of £50,000 from the previous threshold of £300,000.

The main features of the scheme are that eligible buyers can use it to buy a home on the open market.

Loans are available between 10% and up to 50% of a property’s worth, with a maximum property worth that can be bought – £300,000 – or up to £350,000 in some circumstances.

This scheme is one of a number run the council’s Housing Action Plan, and is part of a bid to create better access to affordable housing.

To date, HAP has supported almost 9000 people and provided 800 more housing units.

Council tax premium

It’s being partly funded by the council tax premium on second homes and empty properties, with over £10.5 million invested since 2021.

Among it efforts, the plans include building more houses, bringing empty houses back into use and tackling homelessness by developing more supported housing in the county.

Councillor Paul Rowlinson, Cyngor Gwynedd’s Cabinet Member for Housing and Property, said:

“We are in the middle of a housing crisis and it’s essential that we do everything we can to help the people of Gwynedd with their housing situation.

“The number of people who have received help through this scheme clearly shows that there is a demand for the scheme and that it’s a scheme that works.

“It’s also important that we review our housing plans constantly to ensure that the criteria reflect the true situation for the people of Gwynedd.

“House prices have risen enormously over the last few years we have listened, and now the Gwynedd Homebuy scheme in some circumstances can help towards buying houses worth £350,000.

“Working together with the Welsh Government and Tai Teg means that we can combine our resources and reach even more people throughout Gwynedd.

“It is a difficult time for local people who want to buy a home in their communities, but help is available.

“I encourage anyone who wants more information to go to the Council’s website, and if you are eligible for the scheme, go and register with Tai Teg as soon as possible.”

‘Fresh approach’

Welsh Government Cabinet Secretary for Housing and Local Government, Jayne Bryant MS, said:

“It’s wonderful to see how our work with Cyngor Gwynedd and Tai Teg has helped so many people buy a home in their community.

“The Dwyfor pilot has taken a fresh approach to Homebuy, and the results speak for themselves – more families and individuals have become homeowners than ever before”.

A resident from Pen Llŷn who received support through the scheme said:

“I heard about the Homebuy scheme through a family member, and after reading more about it I really thought there was a catch of some sort, it sounded too good to be true.

“I went on to apply through Tai Teg, the whole process was quick and smooth, with plenty of support from the officers.

“We managed to buy a house with the help of the scheme within our community, something that would never have happened with house prices so high there”.

For more information on the Homebuy scheme click here.