We are sure that most of you will be aware of the current Help to Buy scheme that was introduced back in 2013 for those looking to get onto the property ladder that are struggling to save the deposit needed for their first home. However, there are Help to Buy schemes that are not just available to first time buyers.
With as little as a 5% deposit, the Help to Buy Equity Loan will allow you to borrow 20% of the purchase price, interest-free for the first five years. In the sixth year, you will pay 1.75%, rising annually by the increase (if any) in the Retail Price Index (RPI), plus 1%. For those in the London area, you can borrow up to 40% of the purchase price.
So, if you’re in a position where you would like to move but wondering how you might be able to afford it, take a look below where we cover the Equity Loan in more depth.
Help to Buy Equity Loans
The Help to Buy Equity Loans are available for homeowners and first-time buyers however, it is only available on new build homes. This scheme ends in 2020.
Whether your current home hasn’t gone up in value enough to fund the deposit for your next house, or perhaps the price jump between your current home and the new house you want to move into is too high. In which case, the Help to Buy Equity Loan might be just what you need. The Help to Buy Equity Loan is excellent for those looking to move home into a new build property that is no more than £600,000 (£300,000 in Wales), but who are struggling to find the funds for a deposit.
So, if you already own a property and are looking to move to a larger home, the Equity Loan could give you the boost you need. Finding the deposit is still the largest challenge many buyers are faced with, and since the scheme started, almost two in ten applicants are already existing homeowners in need of that extra boost to move them up the housing ladder.
Need a little more information about this scheme or mortgages in general? Why not speak to one of our team?
Let us take the hassle away from you and get in touch today to arrange an appointment with one of our expert mortgage advisers.
We offer appointments either face-to-face or over the phone; whatever suits you best. As you may have heard… WE MAKE MOVING SIMPLE!
For further information, give us a call on 01268 987984 or drop us an email – email@example.com
Please note that your home may be repossessed if you do not keep up repayments on your mortgage.