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SHORT of money to buy a house but not afraid of hard work? If that describes you, then self-build schemes run by housing associations might be your way into the property market.
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Self-build is designed to give small groups of people the funds and the know-how to build several houses or flats on an association's land, or to refurbish properties.
When the work is done, self-builders are given 25% of the value of a home as payment - known as 'sweat equity'. They can generally buy a further quarter share of the property using savings or a mortgage and rent the remainder from the housing association. As time passes, they can usually apply to buy an ever-increasing slice of the home until they own it.
Nick Englefield of the Community Self Build Agency, a charitable body, says: 'Joining a group to help build the homes you will all live in can make sense for everyone.
'Projects develop a sense of community and they learn skills that can lead to complete career changes.'
But the work is hard. As well as meetings before the project begins, self-builders normally have to work on-site two evenings a week as well as every weekend and at least two full weeks as completion approaches. They are not expected to be qualified tradesmen because housing associations usually organise the initial structural work.
Adrian Toms, marketing manager of Boleyn & Forest Housing Association in east London, says: 'We select from local people - local authority tenants or those on housing waiting lists who are really committed to the project and prepared to see it through to the end.'
Those offered a place on a team must have sufficient savings, or qualify for a mortgage, to buy the initial quarter share of their home.
Not every lender offers such loans, so housing associations often have links with sympathetic banks and building societies. But borrowers must prove they can afford the mortgage repayments as well as the association's rent before being offered a loan.
Scaffolder Neil Rutter is one of a team selected for a scheme near his rented home in Bow, east London. He says: 'Prices have risen so fast around here that we couldn't have afforded to buy an ordinary house without this sort of arrangement.'
Now Neil, 29, and his 26-year-old wife Katherine can look forward to moving with their three young children into one of the ten threebedroomed houses that his team of builders is helping construct. 'I just can't wait to get going,' he says.
There are many schemes throughout the country and council housing departments can usually give details.
The Housing Corporation also funds housing associations and has details of shared ownership schemes on www.housingcorp.gov.uk. Searching the internet for 'housing association' and 'self-build' helps locate schemes, or log on at: www.communityselfbuildagency.org.uk.
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