Two people stack coins in their new house. SAM Conveyancing explains the Save To Buy First time buyer scheme for 2023
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Save To Buy With Just 1% Deposit

Caragh Bailey, Digital Marketing Manager
Last Updated: 02/08/2023
4,737
4 min read
Key Takeaways
  • You will need to be a first time buyer in full time employment to apply
  • Available properties are in Epping Gate, Essex and Hayes, west London
  • Properties range from 1-3 bedrooms and £330,000 to £500,000
  • The minimum deposit required (if you are able to get a 5% deposit mortgage) would be £16,500, but you'll only need 1% to move in (£3,300). A prospective buyer paying £1,500 per month would save a deposit of £18,000 in just one year.

How can I save for a deposit while renting?

With rent costing us near to 40% of our take home income, compared to just 30% a little over 20 years ago, and the cost of living crisis squeezing us tightly, many hopeful homeowners are sick to the back teeth of hearing advice like 'cut down on avocado toast and lattes'.

A new Save to Buy scheme by Fairview New Homes allows buyers to move into their home up to 2 years before you buy, making monthly payments, like rent, but which go 100% toward your deposit. This saves buyers from the seemingly never ending task of saving and renting at the same time. The scheme will close at the end of 2023.

It takes the average Londoner over 15 years to save a 20% deposit


1% deposit mortgage

Typical low deposit mortgages can be hard to get, or rely on a well-off friend or family member to share your mortgage or 'off-set' your deposit. The way this scheme overcomes these downfalls it that when you move in, you only need 1% of the property's value. You exchange when you move in, for up to 24 months you put 100% of your monthly payments toward your deposit, and you don't complete on the purchase until you've built your deposit up for a regular mortgage (usually 10%) so you'll be buying with a reasonable chunk of equity.

Unlike other schemes (Rent to Buy) you don't have to pay any rent while you're saving your deposit, so you won't be 'wasting' any money, from the day you move in.

One month before you have paid enough into the scheme for a sufficient deposit, you make your mortgage application. If this is approved, you'll be able to complete the purchase, and become the new owner.

What happens if I can't complete my Save to Buy?

If you are unable to complete the purchase, you won't get the money you've put toward the deposit back, but you will get to keep your initial 1% deposit. The monthly payments are based on local rent and your personal finances, so you will have spent what you would have been paying on rent anyway.

Will I own my Save to Buy house outright?

Once you complete your purchase, you will own 100% of the property and the developer will retain 0% of the ownership or interest. This differs to other schemes like Shared Ownership, where you must pay rent on the share owned by the housing association.

What is the Save to Buy process?


    1

    Save a 1% deposit to apply

    2

    Apply & get accepted via a financial assessment

    3

    Instruct your conveyancing solicitor or licenced conveyancer

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    4

    Exchange contracts and move in

    5

    Pay no rent and put monthly payments toward your deposit

    6

    Apply for your mortgage when you've got a big enough deposit

Free Consultation* | 100% Impartial Advice | Access to Whole Market

    7

    Draw down your mortgage to complete the purchase


Frequently Asked Questions
Who
Where
What
How
* How does the Free Mortgage Consultation work?
SAM Conveyancing has negotiated a FREE Mortgage Consultation with our panel mortgage broker. This allows you a free mortgage consultation to discuss your specific requirements and provide mortgage opportunities for the Service being requested. If you want to proceed with a formal mortgage application through your mortgage broker, then a mortgage application fee maybe payable. If there is a fee to pay for your mortgage application, it will be explained to you at the point of discussing your mortgage options.

You can disengage the services of your Mortgage Broker prior to making a formal application and no fee will be levied.


SAM Conveyancing is an approved partner of Advies Private Client, and this page is an advertisement for them. SAM Conveyancing does not provide or arrange mortgage advice, but we may receive a commission for any product you take with Advies Private Client after we introduce you to them.

SAM Conveyancing is not regulated by the FCA and does not provide any insurance or mortgage products products nor can we provide any advice on different insurance or mortgage products. Please liaise with your chosen Advies Private Client for any insurance advice.
Caragh Bailey, Digital Marketing Manager
Written by:

Caragh Bailey is a Lead Property Content Specialist at SAM Conveyancing, having joined the firm in 2020. With a portfolio of over 150 technical conveyancing, house survey and mortgage guides, she has become a primary authority on the end-to-end sale and purchase process.

Caragh specialises in complex legal workflows, including Help to Buy redemptions, equity transfers, shared ownership structures, trust deeds for tax planning, and joint ownership disputes. Her expertise extends to leasehold reform and RICS home surveys, where she provides clear, factual guidance on independent legal advice for specialist mortgage products and intricate ownership structures.

Andrew Boast of Sam Conveyancing
Reviewed by:

Andrew Boast FMAAT is a qualified accountant, conveyancing specialist and author with over 25 years of experience in the UK property sector. Since beginning his career in 2000 within established SRA and CLC-regulated conveyancing solicitor firms, Andrew has overseen the legal journeys of more than 75,000 clients.

He is the author of the property guide 'How to Buy a House Without Killing Anyone' and a frequent contributor to mainstream UK media on legislative updates, property law, first-time buyer guides, conveyancing best practices, and stamp duty changes. Andrew specialises in resolving complex title issues, property conflict disputes, and property tax options, streamlining the enquiry process to reduce transaction times and maintaining a client-friendly focus.

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