STOP THE PRESS Help to Buy
From October 2013, Help to Buy has been extended to make it possible to purchase any property under £600,000 – be it a new build or pre-owned home – with as little as a 5% deposit.
Help to Buy is a government scheme which could make getting on to, or moving up, the housing ladder more accessible. It helps existing home owners and first time buyers purchase a home with as little as 5% deposit.
There are two ways to purchase a property up to the value of £600,000 using Help to Buy:
Mortgage Guarantee – available on both pre-owned and new build properties with a standard mortgage of up to 95% of the purchase price.
Equity Loan – available on new build properties only using a government equity loan of 20% of the purchase price plus a traditional mortgage.
Equity Loan – Help to Buy
With a Help to Buy Equity Loan, the government loans you up to 20% of the cost of a new-build home, so you only need a 5% deposit and a 75% mortgage to make up the rest. The Equity Loan scheme is only available from approved, participating house builders.
Director Jason Baker commented:
“Due to the Surprise help to buy scheme announcement months earlier than expected, our branches are noticing a large increase in demand from First time purchasers enquiring who may have had to save for years, or relied on Relatives to boost their depositand existing home owners, needing a larger deposit to take the next step up the housing ladder. Both groups now finding that the scheme will not only remove that obstacle but allow them to find their dream homes much sooner than they ever thought possible. Over the last few years, I believe that there has never been a better time to market your property”
Thinking of selling?
Thinking of Buying
Our mortgage advisers would be happy to guide you through Help to Buy and confirm how much you could afford to spend towards your next Home…
Read the Article from rightmove