20 / 09 / 24

Discount Market Scheme – What is it?

 When buying a home, especially for first-time buyers, having a buying incentive can be incredibly helpful as they assist you in getting on the property ladder. Some well-known incentives include part exchange and help to sell. However, we are going to discuss an incentive called the Discount Market Scheme and how it works.

So, what is the Discount Market Scheme?

Andrew Boast from SAM Conveyancing says “Discount Market Sale (DMS) … is a low cost home ownership product where you can buy a new build or existing property at a discounted price from a local council participating in the scheme in collaboration with developers.” – You can read more from Andrew Boast here.

This buying incentive helps first-time buyers and low to middle earners purchase a home more easily. The typical discount with this scheme, tends to be around 20%, but can be higher. This discount greatly lowers housing costs.

Where the council works with the developer, there are initial fees to apply for the scheme. However, unlike the shared ownership incentive, you do not have to pay rent each month!

What is the Discount Market Scheme Criteria?

To be eligible for the Discount Market Scheme, you:

• Must live in or be employed within the borough council/local authority area in which the scheme is operating.

E.g. Pentland Homes is now selling Discount Market Sale properties at our Poppy Fields development.

These homes start at a price of £200,000. Hawkinge, where Poppy Fields is located, belongs to the Folkestone and Hythe District Council. This means that anyone buying a home at Poppy Fields must live in or work in this area. Bear in mind, each local council will have their own specific criteria regarding eligibility.

• You must earn a gross annual household income that does not exceed 45% of the home’s discounted sale price.

E.g. if you were buying a home priced at £200,000, with this scheme you must not earn more than £90,000 for your whole household.

What’s Next?

If you want to buy a home with the Discount Market Scheme, take a look at our homes “The Newenden” or “The Penshurst” at Poppy Fields. You can get in touch with our sales team, who will share all the information you need about the homes, and the scheme. They will take you through the buying process and who you need to contact, to ensure your buying process is as smooth as possible.

Pentland Homes are here to help at every step of the way. So, start your buying journey today with this amazing incentive, and learn more about our homes!