WHO QUALIFIES FOR HELP TO BUY?
The Help-to-Buy scheme is designed to help thousands of people to buy a new home. To be eligible for the scheme you’ll need to:
- Be able to put down a deposit of 5% of the value of the property
- Buy a brand new home
- Ensure that your new home is your main residence, and not bought for rental purposes
- Buy a home that is worth up to the value of £600,000
HOW DOES IT WORK?
You put down a deposit of 5% of the value of the property, and the Government will then provide you with an equity loan which will be up to 20% of the purchase price. With a combined deposit of 25% of the value of the property, you will be able to access a range of mortgages with lower interest rates and more affordable monthly payments. The Help-to-Buy loan is interest-free for five years and can be repaid at any time or on the sale of the property.
The first step to buying a new home is working out how much you want to spend. You’ll need to base this on factors such as income, how much you want to repay on your mortgage each month, and how much of a deposit you want to put down on a property.
Then it’s important to think about location, and what kind of property you’d like to buy to suit you. Buying a home can be a daunting prospect, so make sure you get the support you need – there’s plenty out there. Our trained sales advisors can provide advice and guidance on the buying process. They can also put you in touch with local independent financial advisors who can help you to secure a mortgage that is right for you.