One young couple who have taken advantage of the "rent-to-buy'' scheme operating at Olivebank Townhouses are William and Michelle Smith.

Mr. and Mrs. Smith and their three-year-old son William, Jr. were making plans to move in with William's mother when they heard about the plan.

After just a few weeks of living in cramped conditions with Mr. Smith's mother, the family took advantage of the rent-to-buy scheme and moved into an Olivebank Townhouse.

"It was December and we were renting when we made a decision to move in with my mum to save for a down-payment on a house,'' said Mr. Smith, 26, who is a technical support worker for Bermuda Telephone Company.

"We stayed with my mum for a while but it was chaos. We moved into an Olivebank Townhouse on May 1, 1992 -- three days before our first wedding anniversary.'' Without the rent-to-buy scheme, the Smiths said they almost certainly still be living with William's mother trying to save furiously.

"This scheme is a chance for you to put a foot in the door for all those who need an opportunity,'' said Mr. Smith.

"It is a great opportunity for first-time buyers to get established in a place of their own.

"We made a decision to save and we are planning to buy the house after two years.'' The couple is very happy in their new home. "It's fantastic, very relaxing,'' said Mr. Smith.

"When I come home on Fridays I can just forget about Hamilton for the weekend. I virtually retire for a few days and don't go anywhere.

"I've got a great relationship with some of the neighbours. There's a very friendly atmosphere up here.'' The Smiths heard about the Olivebank Townhouses and its rent-to-buy scheme through word-of-mouth.

"We know another family who had just got a great deal with Kitson's and thought we'd check it out,'' said Mr. Smith.

"We heard about it, came up to see it and liked what we saw. We've no regrets at all. We've been given an opportunity to have our own place and we intend to make the most of it.'' Kitson and Co. has not advertised the properties at all, preferring instead to rely on word-of-mouth to attract mutually compatible residents.

HELPING FIRST-TIME BUYERS -- William and Michelle Smith hope to buy their townhouse under an innovative `rent-to-buy' scheme. Also pictured is their son William, Jr. and their dog Coco.

FIRST IN -- Thomas and Ruth Dunch became the first Olivebank residents when they moved in during May, 1991.

HAPPY FAMILY -- Olivebank residents Reginald and Karen Hewey, with their sons, from left to right, Karim, Tariq and Kamal.

IN A ROW -- Quiet, clean and neat: Olivebank Townhouses in Warwick.