BHC tenants offered 100% mortgages
New 100 per cent mortgages worth a total of $25 million for Bermuda Housing Corporation tenants are set to be available in a partnership between Clarien Bank and the Bermuda Housing Corporation.
The deal means that existing BHC tenants or clients will be able to buy selected homes from the BHC portfolio or properties under the control of Clarien.
The HomeStart scheme is aimed at people who are able to make repayments, but lack the funds to come up with the usual 25 per cent deposit.
BHC will guarantee the top 25 per cent of each individual loan between 75 per cent and 100 per cent made by the bank.
Ian Truran, CEO of Clarien, said: “We’re delighted to be part of this initiative, which we hope will put home ownership within realistic reach of more Bermudians.
“Finding the money for that 25 per cent down payment is what puts home ownership beyond so many hard-working and deserving people — even though they are more than capable of making the mortgage repayments.”
He added: “Owning your own home is a source of pride and security for a family and we hope that through this programme, more Bermudians will have that opportunity.
“It is in the spirit of what ourselves and the BHC are trying to achieve that we will be waiving our normal fee on mortgages arranged under this scheme as well as providing a discounted mortgage rate.”
The new mortgages will be for up to 30 years, depending on the age of the applicant, and, although Clarien has announced a base rate increase, it will honour its previous mortgage rate of 6.50 per cent, less a discount of 0.325 per cent, throughout this year for HomeStart loans.
Applicants will be pre-screened by BHC and must be Bermudian and not previously have owned or have partial ownership in a home.
First-time buyers will be able to buy the properties in “as is” condition at a more attractive price or allow the bank to refurbish to an acceptable standard.
Major Barrett Dill, general manager of BHC, said: “The corporation has been diligently working on finding solutions to the recent challenging state of the local residential real estate market and welcomes this partnership with Clarien Bank.
“It is our hope that this joint venture will help positively stimulate the real estate sector as Bermuda continues the recovery from the devastating effects of the economic recession of past years.
“Our stated mission is to provide accessibility to adequate, affordable housing and promote independent living to enhance the quality of life in Bermuda, therefore we gratefully salute Clarien’s innovative approach to putting Bermudians into Bermudian homes.”
Craig Cannonier, Minister of Public Works, added: “Home ownership, for some Bermudians, is something which may have seemed simply unobtainable previously.
“Now, thanks to this partnership between BHC and Clarien, owning one’s own home can be a dream realised for many.
“I’m grateful to both parties for the amount of time and effort they put into coming to this arrangement and I can only imagine the joy this project will bring into the lives of so many who now have the chance to ‘own a piece of the rock’.”
Toddler injury: nursery had no licence
Burt accused of losing touch with PLP ideals
Woman admits importing $126,000 in cocaine
Silence from tech firm on Burt’s claims
I quit because of abuse, says Trott
Business to Dickinson: go easy on the taxes
Eye in the sky
Top Ten Employers to add diversity award
Bermudian roofs stand strong in Caribbean
Jury told victim was speeding before crash
Worrying, worrying signs
A Dopey way of turning tragedy on its head
Plea for new homeless shelter
Davy jailed 18 years for drug smuggling
Pembroke man accused of attempted murder
Take Our Poll
- "Your new year's resolutions for 2019"
- Quit smoking
- Quit drinking/drink in moderation
- Do not drink and drive
- Lose weight
- Stop procrastinating
- Drive with greater care
- Total Votes: 2607
- Poll Archive