Discount Market Sale
Do you want to own your own home, but need help to get on the property ladder?
You may be eligible for a 30% discount on a new home at Castelmer Farm through the Discount Market Sale scheme.
What is Discount Market Sale?
Discount Market Sale is a low-cost homeownership product where you can purchase a new-build home at a discount of up to 30%. For example, a home with a market value of £250,000 would cost you £175,000 after the DMS discount is applied.
How much does Discount Market Sale cost?
When buying a Discount Market Sale home, the purchase price is fixed at 70% of an independently assessed open market value, using a RICS-registered valuer. This means you own the home outright, but at a lower cost than open market homes.
Do I meet the eligibility criteria?
To be eligible for Discount Market Sale, you must meet certain criteria:
- You must live, work, or have a close family member (parent, child, or sibling) living within the Kingston, Lewes Borough. If no eligible buyers can be found, this area may be widened to neighbouring Boroughs with Council approval.
- Your gross annual household income must not exceed £80,000.
- You must be unable to afford to buy a suitable home on the open market.
- You must not own another property at the time of purchase.
- You must be able to secure a mortgage and have sufficient funds for your deposit and associated costs.
How much do I need to pay as a deposit?
You will usually need a minimum deposit of 5% of the discounted purchase price. This may vary depending on your mortgage lender and personal financial situation. Speak to an Independent Financial Advisor for personalised advice.
Is Discount Market Sale only for first-time buyers?
No, Discount Market Sale is not limited to first-time buyers. However, you must have sold any other property before you can complete your DMS purchase.
Do I have to pay Stamp Duty?
If you are a first-time buyer, you pay no Stamp Duty on a property valued up to £300,000. If you are a home mover, you can calculate your Stamp Duty using the official government calculator.
What happens if I want to sell my DMS home?
You can sell your home at any time, but it must be resold at 70% of its current market value, using a RICS valuation. The buyer must also meet the eligibility criteria and be approved by Lewes District Council before the sale can proceed.
You will not be able to complete a resale without a Compliance Certificate from the Council, and your solicitor must apply for this in advance. A legal restriction is placed on the title of the property to ensure these conditions are met.
What is a RICS-registered valuer?
A RICS-registered valuer is a qualified property professional accredited by the Royal Institution of Chartered Surveyors (RICS). They follow strict professional standards (known as the “Red Book”) to provide independent and accurate property valuations.
You can search for a local RICS-registered valuer via the official RICS website at ricsfirms.com, enter your postcode and choose “Valuation” as the service type.
