Offers terms and conditions

General terms and conditions

Barratt Homes General Terms & Conditions 

Any promoted Barratt offer is subject to contract and status. Offers are on selected plots only and are subject to availability. The offers advertised cannot be used in conjunction with any other offer on the same plot unless expressly stated otherwise. Prices and details are correct at time of going to press. All images are typical of Barratt homes and are for illustrative purposes only. Please contact the development in which you are interested for further details.

Barratt reserve the right to withdraw or alter any of these offers at any time prior to the payment of a reservation fee. Contracts must be exchanged within 28 days of reservation of your property. Failure to do so may result in the loss of all or part of your reservation fee.

The current specific offers being advertised in relation to selected Barratt developments are also subject to the specific terms and conditions set out above (N.B. these offers may vary from time to time and you should refer to the development in which you are interested to discover which offers are available on specific plots and developments).

All Barratt offers are subject to the use of a Barratt nominated Independent Mortgage Advisor and Solicitor. Barratt will not be liable for the refusal of a mortgage based on the borrower’s individual circumstances which leads to the loss of any reservation fee. Barratt will not be responsible for the failure of any deal due to any defects in your existing property which arise as a result of an inspection or survey, whether a part exchange deal has been agreed or not

These terms and conditions do not affect your statutory rights.

Barratt Homes is trading names of BDW Trading Limited (Registered Number  03018173) which is a subsidiary of Barratt Developments Plc (Registered Number: 00604574) both with registered offices at Barratt House, Cartwright Way, Forest Business Park, Bardon Hill, Coalville, Leicester, LE67 1UF.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE

FirstBuy £500 Armed Forces Choices voucher terms and conditions

1. For the purposes of this offer, Armed Forces personnel shall qualify for this offer where they have completed their basic (phase 1) training and they are one of the following:

1.1 Regular service personnel (including Military Provost Guard Service, in the Navy, Army and Air Force)

1.2 Clinical staff (with the exception of doctors and dentists)

1.3 MOD Police Officers

1.4 Uniformed staff in the Defence Fire Service

1.5 EX-Regular service personnel who have served in the Armed Forces for a minimum of six years, can produce a Discharge Certificate (or similar documentation) as proof, where they apply within 12 months of the date of the discharge from service.

1.6 The surviving partners of Regular service personnel who have died in service, where they apply within 12 months of the date of being bereaved. For details of how surviving partners are defined, please see the link below.

2. Armed Forces personnel who purchase a new home from Barratt Homes in England under the FirstBuy Scheme qualify for £500 worth of Armed Forces Choices Vouchers for every £25,000 they spend. For example, a customer purchasing a property for £185,000 will receive £3,500 worth of Choices Vouchers to spend on their new Barratt home.

3. Details of Choices options available and pricing can be obtained by visiting the development you are interested in. Choices available may vary from plot to plot and development to development.

4. Armed Forces Personnel must complete their details on the Choices Voucher Application Form (“Application Form”) which can be printed from our Offers page of this website; http://www.barratthomes.co.uk/Global/FirstBuyChoicesVoucher/Barratt.pdf

5. The Application Form must be presented to the sales adviser at the time of reserving a property.

6. Reservation must take place by 30 June 2012.

7. Only one Application Form may be presented per property purchase. Choices Vouchers cannot be transferred, exchanged for cash or sold.

8. Our Choices Voucher offer cannot be used in conjunction with any Barratt offer or scheme other than the FirstBuy Scheme.

9. Barratt Homes reserve the right to withdraw or alter the terms of the Choices Voucher offer at any time prior to payment of a reservation fee.

10. Terms and conditions apply to the FirstBuy scheme. Please visit our Offers page on our website for full details.

FirstBuy terms and conditions

1.1     This offer is only available on selected plots and developments. The maximum property value for FirstBuy is £280,000 and on an exceptional basis, depending on location, a purchase price of up to £300,000 will be considered.

1.2       This scheme is only available where the total income of the purchaser’s household does not exceed £60,000 per annum.

1.3       Purchasers will be required to raise funding (including a mortgage and any deposit,) of not less than 80% of the property purchase price (excluding any mortgage fees). The property will be subject to a first charge in favour of the mortgage company. 

1.4       For the purposes of the purchaser’s first mortgage a valuation of the property will be carried out by an independent valuer based on the market value.

1.5       A HomeBuy Agent (Government appointed housing association) will carry out an eligibility check to ensure that the purchaser satisfies the Homes and Community Agency’s (“HCA”) eligibility criteria for the FirstBuy scheme and to check on the purchaser to establish the purchaser’s ability to afford and sustain home ownership. The HomeBuy Agents will consider 45% as the maximum percentage housing costs should be as a proportion of net available income in order to indicate the purchaser’s ability to repay the loans.

1.6       If the purchaser’s eligibility is confirmed and the timeframes and procedures set out in the Solicitors Pack supplied to the purchaser’s legal advisers as part of the conveyancing process are complied with, BDW Trading Limited (“BDW”) and the HCA will each provide equal equity loans to the purchaser of not less than 5% and not more than 10% of the purchase price subject to the terms of the equity loan agreements. Based on the maximum purchase price of £300,000, BDW and the HCA will therefore provide equity loans of up to £30,000 each.

1.7       The equity loans provided by the HCA and BDW will be secured by second and third charges (respectively) on the property ranking equally (by virtue of a deed of priority a copy of which will be supplied to the purchaser’s legal advisors as part of the conveyancing process) behind the first charge referred to in paragraph 1.3.

1.8       The equity loans provided by BDW and the HCA will be interest free for the first 5 years. From the beginning of year 6, interest will be payable by the purchaser at an annual gross rate of 1.75%, rising at  the Retail Prices Index published by the Office for National Statistics plus 1% per year thereafter.

1.9       The equity loans must be repaid within 25 years of legal completion of the purchase of the property whether the property is sold or not. 

1.10     If the purchaser sells the property, repays the mortgage on the property without taking out an alternative mortgage, is insolvent or defaults under the equity loans agreements, the equity loans must be repaid in full at that time.

1.11     The equity loans will be repayable on the basis of the greater of the price of the property or its market value at the time of future sale or mortgage repayment as opposed to the original purchase price but disregarding additions or improvements made to the property by the purchaser with the consent of BDW and the HCA. This means that if the property increases or decreases in value, the purchaser will pay BDW and the HCA the same percentage of the new price of the property as the percentage the equity loans were of the original price.  This may result in BDW and the HCA being paid more or less than the original loan value.

1.12     If, on the sale of the property, the price of the property has fallen and there is insufficient money from the sale to repay the equity loans after the mortgage has been paid the purchaser will lose any deposit paid. BDW and the HCA will not however seek to recover the balance of their equity, not otherwise paid out of the proceeds of sale, from the purchaser.    

1.13     The purchaser may repay the equity loans to BDW and the HCA at any time following legal completion. Repayment whether in full or by instalments will be based on the market value of the property at the time of the repayment(s) and the purchaser will have to arrange and pay for the valuation of the property at that time. The minimum instalment value is 10% of the total of the equity loans. The minimum instalment must be repaid to each of BDW and the HCA at the same time.

1.14     Detailed terms and conditions apply to each of the equity loans which will be made available to the purchaser via their legal advisors as part of the conveyancing process.

1.15     Mortgage lender's criteria may affect any deposit percentage and whether it applies before or after the equity loan is deducted from the purchase price.

An example of how FirstBuy works is as follows:
Purchase price £120,000
Mortgage £91,200 (76%)
Deposit £4,800 (5% after loan applied i.e. 4% of purchase price)
Equity loan £24,000 (20%) (BDW £12,000/10% and HCA £12,000/10%)

For the first five years the equity loan is interest free. After 5 years an annual fee of 1.75% of the outstanding balance of the Equity loan is charged. This will be increased annually by RPI +1%.

Sale after 5 years.
Open market value £150,000 (a 25% uplift in value).
Mortgage repayment (assuming no repayment of capital) £91,200.
Equity loan 20% of the open market value split equally between BDW and the HCA = £30,000 (£15,000 each)
Remainder available to purchaser £28,800

APR Equivalent
To give you an example of the equivalent APR the formula which illustrates the increase in the sum repayable on the sale of the property as an annual effective rate is as follows:

100  R 1/T
 P  -1 

Where:
R is the amount of the repayment on the sale of the property
P is the amount of the credit advanced under the agreement; and
T is the period beginning with the relevant date and ending with the date of repayment, expressed in years
As a guide to help you work out the equivalent APR assume a loan of £10,000 (P) is advanced and that the amount repayable after 7 years (T) is £15,000 ( R ) (the value of the property having been assumed to increase by approximately 6% per year)
The APR equivalent is  100  15,000 1/7 
   10,000  -1

   = 100 [(1.5) 0.14286 -1]
   = 100[1.05963-1]
The APR equivalent is therefore 5.96.

Deposit Match Terms & Conditions

1. In the event that Barratt agree to match your deposit under this offer, we will only contribute up to a maximum of 5% of the purchase price. This sum will be agreed prior to the reservation of your property.
2. Barratt’s contribution will be deducted from the purchase price at the time of completion.
3. Purchasers will be liable for Stamp Duty (where it applies) in the full amount on the property at the prevailing rate as set by the UK Government.
4. This offer is subject to legal completion on or before the date agreed at the time of reservation.
5. Offer cannot be used in conjunction with any other Barratt Homes offer.

Show Home Lease Back Scheme Terms and Conditions

1. Although schemes such as this are commonly referred to as Sale and leaseback they involve a licence with licence fees rather than a lease with rental income and this scheme is available on selected show home plots only.
2. Percentage yields advertised by Barratt are gross yields and do not include factors other than the advertised purchase price and monthly licence fee (similar to rental income) which Barratt will pay to the Buyer. For example, a purchase price of £200,000 with monthly income of £1,200 will give an annual gross yield of 7.2%.
3. The period of any licence and advertised gross yield will vary from plot to plot.
4. The payment of any management fees, service charges (where applicable) and inclusion of treatments such as flooring and furniture will vary from plot to plot. Buyers should speak to their sales adviser for plot specific details.
5. The Buyer’s intention of taking advantage of this scheme must be disclosed at the time of reserving a Barratt home and before any discount is applied.
6. This scheme can only be used in conjunction with select Barratt offers and schemes.
7. Buyers must be over 18 years of age.
8. Buyers must sign a Licence with Barratt Homes at legal completion.

5 Year Warranty Terms and Conditions

These terms and conditions do not affect your statutory rights.

1 “Barratt”, “us” “our” and “we”, when used in these terms & conditions, refer to Barratt Homes.  All other capitalised words and expressions, and ‘you’, ‘your’ and ‘yours’, when used in these terms & conditions, shall have the same meaning as in your NHBC Buildmark policy.
2 In addition to this Warranty, all gas and electrical appliances bought from us at the time of Completion, together with the gas boiler, come with the benefit of a manufacturer’s 5 year Warranty (subject to compliance with the manufacturer’s individual terms, to include, but not limited to regular servicing of the gas boiler).
3 All customers who complete on the purchase of a new Barratt home on or after 17 November 2009 qualify for this 5 year Warranty.
4 This Warranty expires 5 years from the date you complete on the purchase of your new Barratt home. It will benefit each subsequent Owner of your Barratt home during the 5 year Warranty period. It will not transfer with you if you move out of your Barratt home. 
5 Customers who purchase a Barratt property which has been occupied as a show home may not receive the benefit of the full 5 year warranty in respect of all or some aspects of the property. Customers must contact their sales adviser for details of whether any warranties have expired and/or do not have the full 5 years remaining.
6 Relevant conditions of your NHBC Buildmark policy must be complied with during the full 5 year Warranty period, including, but not limited to matters referred to in the General Exclusions & Limitations and Conditions of Cover sections, and Section 2 of your NHBC Buildmark policy. 
7 This Warranty extends the warranties given by Barratt under Section 2 of your NHBC Buildmark policy for the matters referred to in this document (in paragraph 7 and subject to exclusions in clause 8) by extending the period in which you may notify a claim to Barratt to a period of five (5) years from the date you complete your purchase from Barratt, However:
7.1 It is not intended to exclude or limit your rights to make any claim that you could make against Barratt or NHBC under your NHBC Buildmark policy if this 5 year Warranty was not provided by us;
7.2 it does not extend or vary the terms of the insurance cover or Resolution Service provided by NHBC under section 2 of your NHBC Buildmark policy, nor extend or vary any other terms or conditions of your NHBC Buildmark policy, all of which will continue to apply as if this 5 year Warranty was not provided by us; and in particular NHBC will not provide for:
7.2.1 matters that are outside of the scope of the cover described in Section 2 of your NHBC Buildmark policy;
7.2.2 matters notified to Barratt after the normal period for notification of claims to Barratt as stated in the terms and conditions of your NHBC Buildmark policy (which is generally two years from the date of Completion of the purchase of your Barratt home
8 This Warranty covers all non-structural Defects which are covered under your NHBC Buildmark policy in Section 2, save for the excluded provisions listed in clause 8 below for years 3 to 5, and should be read in conjunction with your NHBC Buildmark policy document. In particular this extended Warranty during years 3 to 5 covers:
8.1 repair of Defects
8.2 heating system 
8.3 hot and cold plumbing system 
8.4 electrical fixed wiring and lighting system
8.5  kitchen units
8.6 sanitary ware, taps and shower doors
8.7 wardrobes
8.8 windows
8.9 internal and external doors
8.10 ironmongery
8.11 renewable energy installation where fitted
8.12 boundary brick walls (excluding any load bearing walls which are covered under section 3 of your NHBC Buildmark policy)
8.13 driveway, paths and paved areas,
9 This Warranty in years 3 to 5 does not cover:
9.1 matters specifically excluded in the General Exclusions and Limitations, and Introduction sections of your NHBC Buildmark policy, which currently  includes, but is not limited to;
9.1.1 the effects of wear and tear, neglect or failure to do appropriate maintenance.
9.1.2 the effects of dampness, condensation or shrinkage not resulting from a Defect.
9.1.3 any reduction in the value of your home.
9.1.4 any loss of enjoyment, loss of use, loss of income or business opportunity, inconvenience or distress, or any loss arising or cost incurred (or both) only indirectly, as a result of the events or circumstances that led to your claim or complaint.
9.1.5 any professional fees except those reasonably incurred with our written consent.
9.1.6 any costs or expenses greater than those that would have been incurred by a reasonable person in the position of the Owner spending their own money in connection with the events or circumstances that led to your claim or complaint.
9.1.7 anything concerning which NHBC or we have made a payment to you or a previous Owner in settlement of any claim or complaint.
9.1.8 any costs due to your unreasonable delay in pursuing a claim.
9.1.9 if you are not the first Owner, anything you knew about when you bought your home and which resulted in a reduction in the purchase price or which was taken into account in any other arrangement.
9.1.10 any cost, loss or liability for which you are eligible to receive compensation under any legislation or statutory compensation scheme, or for which you are covered by an insurance policy.
9.1.11 anything agreed to be excluded and recorded by an endorsement by NHBC on the Insurance Certificate issued by them.
9.1.12 the cost or replacing an undamaged item because another item of a similar nature has to be replaced and the replacement item does not match the undamaged item in appearance.
9.1.13 any cost, loss or damage resulting from flooding however caused, or from a change in the water-table level.
9.1.14 any cost, loss or damage resulting from the destruction of the whole or any part of your home as a result of fire, however caused.
9.1.15 any cost, loss or damage resulting from storm-force (or more severe) weather.
9.1.16 anything resulting from or caused by the alteration or extension of your home, the installation, alteration, or extension or demolition of any building, wall, path, drive, paved area, fence, swimming pool or any other structure (permanent or temporary) or the planting (and subsequent growth) or removal of trees or plants (including lawns) in each case after the date of Completion.
9.1.17 anything resulting from compliance by us with written instructions given by or on behalf of the first Owner in respect of design, materials or workmanship.
9.1.18 death, bodily injury, disease, illness or injury to mental health, however caused.
9.2 wilful damage to your home.
9.3 matters currently covered in section 1 of your NHBC Buildmark policy (NHBC cover before Completion).
9.4 the NHBC Financial Limits and any obligations which are over and above the builder’s obligations in Section 2, Part 2 of your NHBC Buildmark policy.
9.5 the Resolution Service covered in Section 2, Part 3 of your NHBC Buildmark policy.
9.6 the NHBC’s obligations in respect of matters covered in Section 3 of your NHBC Buildmark policy.
9.7 matters covered in section 4 of your NHBC Buildmark policy.
9.8 matters covered in section 5 of your NHBC Buildmark policy.
9.9 the General Conditions for Claims to NHBC, Complaints about NHBC and Disputes with Builders section towards the end of your NHBC Buildmark policy.
9.10 garden landscaping
9.11 fences and gates
9.12 carpets and floor coverings
9.13 any item/s which were not included in the sale of your home from Barratt
9.14 common Parts
9.15 items listed in this clause 8 may be subject to change from time to time and you should check your NHBC Buildmark policy provided to you on Completion for full details of what is not covered.
10 This Warranty does not apply to our part exchange / Oakleaf properties or Registered Social Landlord homes.
11 Our liability for any claims under this Warranty shall be limited to the greater of:
11.1 the amount (if any) that Barratt would be liable to pay under the standard terms and conditions of your NHBC Buildmark policy; and
11.2 the Original Purchase Price of your property.
12 The matters covered in this Warranty are subject to you complying with any duties outlined in your NHBC Buildmark policy together the Guidelines included in your Move in File provided to you on Completion (if you require a further copy please let us know), which include, but are not limited to:
12.1 you must take care not to dispose of items such as nappies and sanitary towels via the toilets as this could affect the drainage of your own property and indeed neighbouring properties for which we will not be responsible.
12.2 you must check all gutters remain free from all obstructions. Leaves obstructing guttering fall into the remit of household maintenance.
12.3 to get the best out of your central heating system, make sure you carefully read the manufacturer’s operating instructions. Regular servicing of the boiler is important to help ensure efficient and safe operation and you must comply with any manufacturer’s individual terms to retain the benefit of their separate 5 year warranty.
13 To make a claim under this  Warranty you must:
13.1 contact your local Barratt Customer Services Department.
13.2 give us the opportunity to inspect your home as soon as possible.
13.3 give us all the information that you have to enable us to properly assess your claim.
13.4 where it is agreed that the claim is for a Defect covered under this Warranty allow us to remedy the Defect within a reasonable time.
14 In the event of a dispute over whether the claim is for a Defect covered under this Warranty you must give written notice to the Customer Services Department at your local Barratt office who will deal with any complaint you have under our Complaint Procedure, details of which are available on our website www.barratthomes.co.uk.

Barratt Homes is a trading name of BDW Trading Limited (Registered Number  03018173) which is a subsidiary of Barratt Developments Plc (Registered Number: 00604574) both with registered offices at Barratt House, Cartwright Way, Forest Business Park, Bardon Hill, Coalville, Leicester, LE67 1UF.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE

Armed Forces Discount Offer Terms and Conditions

1. This offer is available to UK Armed Force Personnel where they have completed their basic (phase 1) training and they are one of the following:

1.1 Regular service personnel (including Military Provost Guard Service, in the Navy, Army and Air Force)

1.2 Clinical staff (with the exception of doctors and dentists)

1.3 MOD Police Officers

1.4 Uniformed staff in the Defence Fire Service

1.5 EX-Regular service personnel who have served in the Armed Forces for a minimum of six years, can produce a Discharge Certificate (or similar documentation) as proof, where they apply within 12 months of the date of the discharge from service.

1.6 The surviving partners of Regular service personnel who have died in service, where they apply within 12 months of the date of being bereaved. For details of how surviving partners are defined, please see the link below.

2. This offer is available to Armed Forces Personnel who purchase a new Barratt Development Plc property in GB.

3. Armed forces Personnel are entitled to £1,000 discount for every £25,000 on the price of a new Barratt Developments Plc property.

4. Customer’s intention of claiming this discount must be disclosed at the time of reserving a property and before any other discount is applied.

5. Reservation must take place by 30 June 2012.

6. Evidence of eligibility under this scheme must be provided.

7. Discount can be used in conjunction with other selected offers.

8. Discount is available on residential mortgages only and is not available on buy to let properties.

9. Purchasers must be over 18 years of age. 

Movemaker Terms and Conditions

1. You must enter into a Movemaker Agreement with BDW Trading Ltd (trading as Barratt Homes) concerning the sale of your existing property, which will include a time period for the Agreement. A sample of our Movemaker Agreement can be obtained from your local Barratt Homes sales office.
2. You agree to Barratt  Homes appointing a nominated estate agent who will market and sell your existing property.
3. You agree you will have no control over which estate agent we instruct, or the terms of that appointment.
4. We agree to pay the estate agent’s commission plus VAT for marketing and selling your existing property provided you legally complete on the purchase of a new Barratt home. 
5. You agree not to instruct another estate agent to sell your existing property until your Movemaker Agreement has ended, that no party is currently negotiating to purchase your existing property and that no introduction has already been made by another party.
6. In the event that any existing contract with your estate agent cannot be cancelled without penalty, or if there is a penalty for dual agency, Barratt  Homes will not be liable for any extra fees as we cannot be responsible for obligations contained in third party contracts. Please note that you will be liable for disinstructing your existing estate agent and for any abortive costs or dual agency fees according to your contract.
7. You agree to allow reasonable access to your property for viewings and survey purposes and to co-operate fully with our estate agents in their endeavours to market and sell your property.
8. If no acceptable offer is received within the time period set out in the Movemaker Agreement (usually 4 weeks from the start of marketing), we reserve the right to re-market our available plot.
9. This offer is also subject to the terms of your reservation agreement with us (on the reverse of Res From A) which explains the circumstances in which we may retain part of your reservation deposit.

Parent Power Terms and Conditions

1. In the event that Barratt agree to match your parental contribution under this offer, we will only contribute up to a maximum of 5% of the purchase price. This sum will be agreed prior to the reservation of your property.
2. Barratt’s contribution will be deducted from the purchase price at the time of completion.
3. Purchasers will be liable for Stamp Duty (where it applies) in the full amount on the property at the prevailing rate as set by the UK Government.
4. This offer is subject to legal completion on or before the date agreed at the time of reservation.
5. Offer cannot be used in conjunction with any other Barratt Homes offer other than the £1,000 voucher.

Head Start Terms and Conditions

Head Start  may be available on certain plots and is  strictly subject to the following terms and conditions together with any of the general terms and conditions set out in the reservation form, our advertisements and on this website:

1 Plot and/or purchaser eligibility for Head Start is entirely at the discretion of Barratt Homes and no correspondence or discussion will be entered into in respect of any such matter with the purchaser or any other party.
2 Offers for you to pay 85% of your new home initially are based on you paying that percentage of the agreed price at the time of completion.
3 The remaining 15% of the purchase price becomes a second charge on your Property in favour of BDW Trading Ltd.
4 The purchaser may be required to contribute a deposit depending on the lender’s criteria.  The first mortgage will be paid in the normal way.
5 You can repay the second charge loan at any time within 10 years of completion. This can be done either when you sell or transfer the property to a third party or enter into any transfer of equity in the future, or at the end of 10 years from the date of Legal Completion, whichever is sooner. In the event of genuine hardship at the end of the 10 year period, the repayment period may be extended for up to a maximum of a further 5 years. You must notify us in writing before the 10th anniversary of Legal Completion if you are suffering such hardship. Each application for an extension will be dealt with on a case by case basis by Barratt.
6 The second charge will be repayable on the basis of the value [N.B. value may be less than the price or more than the price paid on completion in a forced sale] of your property at the time of future sale or transfer as opposed to the original purchase price. This means that whether your property increases or decreases in value, you will only be liable for the same percentage of the value of your home at the time of future sale or transfer or at the end of the 10 year period from legal completion if you choose not to sell.
7 In the event that the purchaser owes any monies which are not covered by the amount of equity in the property at the time of future transfer, Barratt reserves the right to pursue the purchaser for the outstanding balance as a personal debt.
8 All monies owed to Barratt must be paid directly out of completion funds (in the event of the sale or transfer of the property).
9 For full details of the second charge loan, please refer to a copy of the second charge loan agreement which you will need to sign before Legal Completion.
10 The difference in value at the time of sale or transfer against the value at the time of Legal Completion will be calculated based on valuations by two independent valuers appointed by us. In the event of any dispute, an average of the valuations of the two independent estate agents is final and binding.
11 You will not be liable to pay back any money made on the basis of home improvements (e.g. the addition of a conservatory or loft extension) insofar as it may affect the value of your home. Our valuations will be based on the size and quality of the home as constructed at the time of Legal Completion and any increase or decrease in value on that property, based on reasonable maintenance and wear and tear.
12 This offer is not available to purchasers who will be purchasing on a “buy to let” basis.
13 Individual lender's security requirements may vary and it is the purchaser’s responsibility to obtain mortgage finance through a Barratt nominated independent mortgage adviser.
14 This offer cannot be used in conjunction with any other offer on the same plot.

Terms and Conditions for HomeBuy Direct

Overview of the HomeBuy Direct Scheme

1.1 This offer is only available on selected developments and is not available for properties valued over £300,000.
1.2 This offer is only available where the total income of the purchaser’s household does not exceed £60,000 per annum.
1.3 Purchasers will be required to raise funding (including a mortgage and any deposit,) of not less than 70% of the property purchase price (excluding any mortgage fees). The property will be subject to a first charge in favour of the mortgage company. 
1.4 For the purposes of the purchaser’s first mortgage a valuation of the property will be carried out by an independent valuer based on the market value. Decisions made by independent valuers are final.
1.5 A HomeBuy Agent (Government appointed housing association) will carry out an eligibility check to ensure that the purchaser satisfies the Homes and Community Agency’s (“HCA”) eligibility criteria for the HomeBuy Direct scheme and to check on the purchaser to establish the purchaser’s ability to afford and sustain home ownership. The HomeBuy Agents will consider 45% as the maximum percentage housing costs should be as a proportion of net available income in order to indicate the purchaser’s ability to repay the loans.
1.6 If the purchaser’s eligibility is confirmed and the timeframes and procedures set out in the Solicitors Pack supplied to the purchaser’s legal advisers as part of the conveyancing process are complied with, BDW Trading Limited (“BDW”) and the HCA will each provide equal equity loans to the purchaser of not less than 7.5% and not more than 15% of the purchase price subject to the terms of the equity loan agreements. Based on the maximum purchase price of £300,000 BDW and the Housing Corporation will therefore provide equity loans of up to £45,000 each.
1.7 The equity loans provided by the HCA and BDW will be secured by second and third charges (respectively) on the property ranking equally (by virtue of a deed of priority a copy of which will be supplied to the purchaser’s legal advisors as part of the conveyancing process) behind the first charge referred to in paragraph 1.3.
1.8 The equity loans provided by BDW and the HCA will be interest free for the first 5 years. From the beginning of year 6, interest will be payable by the purchaser at an annual gross rate of 1.75% of the outstanding equity loans. The interest charge will be uplifted by the increase in the Retail Prices Index published by the Office for National Statistics for the relevant year (if any) plus a further 1% in each subsequent year.
1.9 The equity loans must be repaid within 25 years of legal completion of the purchase of the property whether the property is sold or not. 
1.10 If the purchaser sells the property, repays the mortgage on the property without taking out an alternative mortgage, is insolvent or defaults under the equity loans agreements, the equity loans must be repaid in full at that time.
1.11 The equity loans will be repayable on the basis of the greater of the price of the property or its market value at the time of future sale or mortgage repayment as opposed to the original purchase price but disregarding additions or improvements made to the property by the purchaser with the consent of BDW and the HCA. This means that if the property increases or decreases in value, the purchaser will pay BDW and the HCA the same percentage of the new price of the property as the percentage the equity loans were of the original price.  This may result in BDW and the HCA being paid more or less than the original loan value.
1.12 If, on a sale of the property, the price of the property has fallen and there is insufficient money from the sale to repay the equity loans after the mortgage has been repaid, BDW reserves the right to seek to recover the balance of its equity loan, not  otherwise repaid out of the proceeds of sale, from the purchaser.
1.13 The purchaser may repay the equity loans to BDW and the HCA with effect from 12 months following the date of legal completion. Repayment whether in full or by instalments will be based on the market value of the property at the time of the repayment(s) and the purchaser will have to arrange and pay for the valuation of the property at that time. The minimum instalment value is 10% of the total of the market value. The minimum instalment must be repaid to each of BDW and the HCA at the same time.
1.14 Detailed terms and conditions apply to each of the equity loans which will be made available to the purchaser via their legal advisors as part of the conveyancing process.
1.15 Mortgage lender's criteria may affect any deposit percentage and whether it applies before or after the equity loan is deducted from the purchase price.

An example of how HomeBuy Direct works is as follows:
Purchase price £120,000
Mortgage £79,800 (66.5%)
Deposit £4,200 (5% after loan applied i.e. 3.5% of purchase price)
Equity loan £36,000 (30%) (BDW £18,000/15% and Housing Corporation £18,000/15%)

For the first five years the equity loan is interest free. After 5 years an annual fee of 1.75% of the outstanding balance of the Equity loan is charged. This will be increased annually by RPI +1%.
Sale after 5 years.
Open market value £150,000 (a 25% uplift in value).
Mortgage repayment £79,800.
Equity loan 30% of the open market value split equally between BDW and the Housing Corporation = £45,000 (£22,500 each)
Remainder available to purchaser £25,200
To give you an example of the equivalent APR the formula which illustrates the increase in the sum repayable on the sale of the property as an annual effective rate is as follows:

100  R 1/T
 P  -1 

Where:
R is the amount of the repayment on the sale of the property
P is the amount of the credit advanced under the agreement; and
T is the period beginning with the relevant date and ending with the date of repayment, expressed in years
As a guide to help you work out the equivalent APR assume a loan of £10,000 (P) is advanced and that the amount repayable after 7 years (T) is £15,000 ( R ) (the value of the property having been assumed to increase by approximately 6% per year)
The APR equivalent is  100  15,000 1/7 
   10,000  -1

   = 100 [(1.5) 0.14286 -1]
   = 100[1.05963-1]
The APR equivalent is therefore 5.96.

Typical APR is 6.24%, based on average house prices over 20 years between 1998 and 2008 in England and an average redemption period of 6.92 years.

Part Exchange Terms and Conditions

1.1  Part exchange deals are only available on selected plots and developments. Part exchange will only be available where the home being traded in is no more than 70% of the selling price of the plot being purchased.

1.2  Part exchange is only available up to a maximum value of £250,000 for your old property.

1.3  Valuations for part exchange will be based upon the price which an independent valuer believes your home would be likely to achieve in the current market as opposed to an advertised sale price.

1.4  We will appoint two independent valuers to value your home on the basis of a sale within 8 to 10 weeks. Any part exchange value offered by us will be the average of these two market valuations. If there is a discrepancy of more than 10% between the 2 valuations we will appoint a third valuation and our offer will be the average of the two closest valuations.  

1.5  We are under no obligation to make an offer.  If you have already incurred costs (e.g. estate agents or legal fees) at the time of negotiating a part exchange Barratt Homes will not reimburse these costs.

1.6  An offer made by us under the part exchange scheme is subject to any necessary further enquiries or reports.

1.7  We reserve the right to market the property you are selling prior to your move into a new Barratt Home and you agree to allow reasonable access to the property to facilitate the resale (subject to agreed appointments) and to the erection of a “for sale” sign at the property. You agree to cancel any existing agreements with estate agents and agree that you are responsible for any fees due to them.

1.8  You agree that no party is currently negotiating to purchase the property you are selling and that no introduction has already been made by any other party. 

1.9  It is Barratt Homes’ intention that BDW Trading Limited will purchase your existing home and take legal title to it prior to selling it on to a third party, to allow you to purchase a new Barratt Home. If you withdraw from the transaction and Barratt Homes has found a prospective buyer for your home, Barratt Homes will not make an introduction between you and the prospective buyer. If an introduction has already been made by Barratt Homes or their agent you will be liable to pay a fee of £1,000 plus VAT to Barratt Homes to reimburse costs incurred and Barratt Homes will have no further involvement in facilitating the sale.

1.10      On completion of a home purchase by us under the part exchange scheme we will retain a £500 retention bond which will be refunded to you provided your old property is left in an acceptable condition and you submit accurate meter readings to utility companies.

1.11      Solicitors will ask that you complete the Property Information Questionnaire and Form (PIQ/PIF).  As Barratt Homes has no firsthand knowledge of your existing home the company will have to use these same PIF/PIQ forms for presentation to a subsequent purchaser for your existing home.  You confirm that you will complete these forms accurately and acknowledge that a future purchaser will rely upon on your answers and that legal action may be taken against you if you are found to have given false information.

1.12      We reserve the right to refuse a part exchange and we are under no obligation to give reasons why. All valuations and decisions are final.

Stamp Duty Paid Terms and Conditions

1. Offer applies to selected plots only, subject to status and availability.
2. Offer is to pay a sum equivalent to the purchaser’s stamp duty up to a maximum of 4% of the purchase price of your new Barratt home.
3. Payment will be made to the purchaser’s solicitor on the date of legal completion.
4. Purchaser’s intention to take advantage of this offer must be disclosed at the time of reserving a property and recorded on the Reservation Form.
5. RSL and buy to let properties are excluded from this offer.
6. Offer does not apply to any shared equity properties, which includes but is not limited to HomeBuy Direct FTBI, Headstart, Dreamstart and Kickstart.
7. Offer cannot be used in conjunction with any other Barratt offer.
8. Offer expires on 31 December 2012.

Barratt Developments Plc Shareholder Discount

You could be eligible for a discount of £500 for every £25,000 you spend on a new Barratt home if you hold 1,000 Barratt Developments PLC shares or more.

Terms and Conditions

1. Shareholders must have been the registered holder of 1,000 ordinary shares for a continuous period of 12 months prior to reserving.

2. Customers are entitled to £500 discount for every £25,000 or part thereof on the price of a new Barratt Developments PLC house in the UK

3. Customer’s intention of claiming this discount must be disclosed at the time of reserving a property and the share certificate must be produced.

4. Discount can be used in conjunction with any other offer.

5. Discount is available on residential mortgages only and is not available on buy to let properties.

6. Shareholders must be over 18 years of age.

7. Discount is available to individual shareholders only and does not include employees or investing corporations or members of investing pension funds. 

Head Start £500 Armed Forces Choices voucher terms and conditions

1. This offer is available to UK Armed Force Personnel where they have completed their basic (phase 1) training and they are one of the following:

1.1 Regular service personnel (including Military Provost Guard Service, in the Navy, Army and Air Force)

1.2 Clinical staff (with the exception of doctors and dentists)

1.3 MOD Police Officers

1.4 Uniformed staff in the Defence Fire Service

1.5 EX-Regular service personnel who have served in the Armed Forces for a minimum of six years, can produce a Discharge Certificate (or similar documentation) as proof, where they apply within 12 months of the date of the discharge from service.

1.6 The surviving partners of Regular service personnel who have died in service, where they apply within 12 months of the date of being bereaved. For details of how surviving partners are defined, please see the link below.

2. This offer is available to Armed Forces Personnel who purchase a new Barratt Development Plc (Barratt) property in Scotland or Wales.

3. Armed forces Personnel are entitled to £500 discount for every £25,000 they spend on a new Barratt home under the Barratt Headstart Scheme. For example, a customer purchasing a property for £180,000 will receive £3,500 discount on their new Barratt home.

4. Customer’s intention of claiming this discount must be disclosed at the time of reserving a property and before any other discount or scheme is applied.

5. Reservation must take place by 30 June 2012.

6. Evidence of eligibility under this scheme must be provided.

7. Discount can be used in conjunction with the Headstart scheme only.

8. Discount is available on residential mortgages only and is not available on buy to let properties.

9. Purchasers must be over 18 years of age. 

10. Terms and conditions apply to our Headstart scheme. Please visit our Offers page on our website for full details.

Deposit Builder terms and conditions

1. This scheme is only available on selected plots and developments in England and Wales, and is available on houses only.
2. Hitachi Capital (UK) Plc (“Hitachi”) provides an interest bearing loan regulated by the Consumer Credit Act 1974 to qualifying Buyers of new Barratt homes.
3. The interest payable by Buyers under the scheme is 5.9% APR (Representative) or such other rate as Hitachi may advertise from time to time.
4. The interest rate payable is fixed for the term of the loan.
5. The repayment term of the loan shall be 12 years and Buyers shall be permitted to make over-payments throughout the term without restriction or penalty.  
6. Qualifying Buyers receive a loan of between £5,000 and £50,000 from Hitachi. The actual loan amount will depend on Hitachi’s lending criteria and cannot exceed 15% of the purchase price of the new Barratt home.   
7. Buyers must have a minimum 5% deposit in addition to the sum loaned by Hitachi.
8. The Buyer’s intention of taking advantage of this scheme must be disclosed at the time of reserving a Barratt home and before any discount is applied.
9. The Buyer must use Legal Marketing Services Limited (or such other panel of legal conveyancers as Hitachi may from time to time appoint) for the purchase of the new Barratt home.
10. The loan is paid by Hitachi to LMS for legal completion and the loan cannot be used for any purpose whatsoever other than for the Buyer to purchase the new Barratt home.
11. This scheme can only be used in conjunction with select Barratt offers and schemes.
12. The scheme is available on residential purchases only and is not available on buy to let properties.
13. Buyers must sign a credit agreement with Hitachi.
14. Hitachi terms and conditions apply to the loan.
15. Buyers must be over 18 years of age, UK residents and derive an income from employment, self employment or a pension.

NewBuy terms and conditions

*Source; In-House Research Training Ltd - 97% of Barratt Developments Plc brand purchasers surveyed would recommend Barratt to a friend. 4,268 customers surveyed between April and November 2011. 

NewBuy is a Government Scheme which facilitates the return of 95% loan to value mortgages. Details of the Scheme are;

1. Customers require a 5% cash deposit and must meet the lender’s mortgage eligibility criteria for a repayment mortgage.

2. The Scheme is available on all new properties in England up to £500,000, subject to lender’s criteria.

3. The Scheme applies to residential mortgages only and is not available on buy to let properties or second homes.

4. NewBuy cannot be used in conjunction with any other Barratt Homes’ offer or scheme.

5. This scheme may be withdrawn or modified by Barratt Homes or the Government at any time prior to exchange of contracts.

6. NewBuy launches on 12 March 2012 and is expected to end 11 March 2015.

Prices and details are correct at time of going to press. All images are typical of Barratt Homes and are for illustrative purposes only. Please contact the development in which you are interested for further details.