It is very difficult for a teachers to own a house in Ghana especially when they just depend on their salary. The first few years most may even borrow( Loans) to start few businesses, just a handful of teachers become successful, creating a hole on their payslip. A huge loan Teachers have to pay for the rest of their career.
This makes it almost impossible to save and use some on a mortgage. Some few that do side businesses are able to build something small for their families but at a Great Cost.
Seekersnewsgh.com wants to bring to your attention the various means teachers use to own homes in other countries and how we teachers, can learn from it. The government will also have to do something but definitely it will depend on Teachers pushing their Union leaders to create that opportunity.
There are various scheme to help Teachers own houses;
The Government Help to Buy scheme has been around for a while. It is probably one of the most famous house buying programs for Teachers.
It offers a 20% equity loan, allowing you to put down a 5% deposit and get a 75% mortgage on an eligible New Build Property. Union leaders can push for this in our country.
The Shared Ownership scheme has been around for a really long time and allows you to part buy and part rent your home.
This scheme allows you to get a foot on the property ladder with minimal deposit or a lower income.
This scheme might be perfect for an NQT that will have steady pay increases over the years and will be able to buy more shares.
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This is not one of the most popular house buying programs for Teachers. Mainly as you need to be a council tenant with an eligible local authority property to be eligible.
Essentially it allows you to buy your eligible local authority property at a discount.
This is probably going to be the main choice of the house buying programs for Teachers.
Whilst it has not been released yet and is currently just an announcement, it should fit perfectly for Teachers.
It will be a minimum 30% discount on an eligible New Build property. It is going to be available to First Time Buyers and Key Workers.
Help to buy for teachers, House Buying Programs For Teachers, Teacher Mortgages
Who Can Use House Buying Programs For Teachers?
Whilst most schemes are available to everyone, if it is a Teacher specific product you are choosing you will usually need to fall into one of the following occupations:
Fully Qualified Teacher
Newly Qualified Teacher (NQT)
If you don’t fall into one of these groups still check with a specialist mortgage broker to see if your career falls into one of these. Whilst these are the main occupations eligible for a Teacher Mortgage others may fall under Teacher Mortgages that we haven’t mentioned.
Whilst there isn’t a specific Teachers First Time Homebuyer Program there are the above options. The main ones being Shared Ownership and the Help to Buy Scheme.
You can find more information on Shared ownership here and Help to buy here.
Mortgage Deals For Teachers
There are several Mortgage deals for Teachers out there. Depending on your length of service and contract type. You may find that mortgage deals for Teachers in particular offer higher lending. They will often lend you more as you have regular pay rises over the years.
Mortgage Deals for Teachers may let you borrow up to five times your income. Other mortgage deals for Teachers may offer you a mortgage when other lenders wouldn’t. For example if you are an NQT or Trainee Teacher most lenders won’t accept you, but specialist mortgage products for Teachers will.
What Documents Will I Need For House Buying Programs For Teachers?
We generally expect the same documents will be needed for most mortgages. You may need extra documents and we have listed some of those below as well.
The documents required will definitely vary from lender to lender.
Bank Statements (Usually three months worth)
Proof of ID (Often a Passport or Driving License)
Proof of Address (Such as a utility bill)
Income (Payslips, Accounts, or Tax Calculation)
Proof of deposit (Either a mortgage statement, or bank statements showing the build up of your deposit)
Whilst the old Teacher Key Worker Housing Scheme is no longer available we have got the upcoming Government First Homes Scheme. We’ve detailed what we know above but this will likely be the replacement scheme.
As the First Homes scheme will be for Key Workers it will be perfect for Teachers. The First Homes Scheme will offer a really good deal for Teachers. A minimum 30% discount for Teachers will be a game changer. The only drawback is that you have to pass that discount on when you sell your home.
The Unions we learnt have some loans that can assist teacher build.