Thousands of new homes will be built for first-time buyers, according to the government.
Housing Minister Gavin Barwell confirmed 2017 will see the first Starter Homes being built on brownfield sites across the country, of which Middlesbrough and Northumberland are included.
This means that first-time buyers between 23 and 40 years old can buy a home at a discount of at least 20% below market value.
The two areas are among thirty local authority partnerships - selected on the basis of their potential for early delivery - to spearhead the scheme.
These partnerships have been established under the government’s £1.2 billion Starter Homes Land Fund which supports the development of starter homes on sites across England.
These new developments will also support the wider growth and regeneration of local areas, including some town centre sites, and help make sure this is a country that works for everyone.
The first places will begin construction later this year along with sites supported by the Homes and Communities Agency.
Housing Minister Gavin Barwell said:
The Starter Homes Land Fund was set up to prepare suitable land for quality starter home developments which can be built on by developers or through accelerated construction by 2020.
Each local authority partnership will work closely with the Homes and Communities Agency to identify and take forward further land opportunities for the fund.
In addition, the Homes and Communities Agency has also today issued a call seeking expressions of interest from local authorities who are interested in using their land to deliver homes at pace through the £1.7 billion accelerated construction recently announced. This will see up to 15,000 homes started on surplus public sector land this Parliament.