A national roll-out of Gentoo’s Genie home purchase plan has been announced today through a partnership with Orbit Homes.
Aspiring homeowners in Orbit’s areas of operations across the Midlands, East and South East England will be given access to the plan, thanks to the agreement between Orbit and Genie.
This partnership will see the national roll-out of Genie, a 30-year home purchase plan which gives people the opportunity to own their own home without saving for a mortgage deposit. Previously Genie has only been available in the North East.
Orbit will invest £20million into new housing in Orbit’s areas of operation. This will be made available to customers through the Genie home purchase plan provided by Gentoo Genie Limited.
It is anticipated this will be the first of a number of nationwide investments made into Genie in the coming months.
Steve Hicks, Managing Director of Genie, said:
“This is an exciting development for Genie and for the housing market. Genie is a new concept in home ownership. It was devised to offer a solution to a dysfunctional housing market which has seen people struggle to get into property ownership.
“Genie and Orbit have entered into a memorandum of understanding to agree commercial terms and expect discussions to be finished by the end of August.
“Our pilot in the North East has been a great success and has already helped 64 first time buyers and long-term renters into new homes – who otherwise would not have been able to get onto the housing ladder.
“I’m thrilled the investment from Orbit opens up an opportunity to those who live in Orbit’s regions to buy their own home.”
Mr Hicks continued:
“Genie is also seeking agreement from the government that home purchase plans like Genie can be included in the proposed government debt guarantees, which will enable further expansion of the Genie concept.”
Genie is a home purchase plan which doesn’t require a deposit and so makes it easier for first time buyers to get onto the housing ladder.
Genie customers choose their home from a selection of new build properties. They pay a monthly fee and total payments are fixed for each five year period.
Customers acquire shares in their home as soon as they start their payment plan and at the end of the 30-year period own their home outright.
Paul High, Executive Director, Orbit Homes, said:
“We are committed to providing our customers with housing choice and delivering the Genie product gives us another way to do that.
“By investing £20 million into Genie we are able to provide a way into home ownership for those struggling to get onto the housing ladder. We are confident that there is a real need for this kind of product within our area of operations and look forward to working in partnership with Gentoo to help tackle the housing crisis.”
Peter Walls the chief executive of Gentoo has 35 years of experience in housing. He devised Genie after deciding there must be a way for young people to pay cash into a home – instead of putting money into renting. He said:
“Our intention was always to open up Genie to homebuyers across the country and I am delighted our partnership with Orbit Homes will allow this to happen.
“Following on from the partnership announcement with Orbit Homes we intend to increase Gentoo’s investment in Genie from £7million to £20million – opening up more properties to would-be homeowners in the North East.
“Genie was devised especially to help people, who otherwise would not be able to afford to, get onto the housing ladder.
“If they don’t have well-off parents who can give or lend the money for a deposit a lot of people have to make do with paying rent for a home they can never properly call their own.
“Genie is a genuine solution for a number of people who wouldn’t otherwise be able to own their own home.”