Help To Buy
Help to Buy is a Government scheme which enables you to purchase a property with a deposit of just 5% of the purchase price.
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.


More about Help to Buy loans
Example of a purchase with an equity loan scheme Cost/Percentage below;
Property purchase price
Your mortgage
Equity loan
Cash deposit
Property purchase price
Your mortgage
Equity loan
Cash deposit
Equity loan fees
You won’t be charged loan fees for the first 5 years of owning your home. In the 6th year, you’ll be charged a fee of 1.75% of the loan’s value. After this, the fee will increase every year. The increase is worked out by using the Retail Prices Index plus 1%.
Your Help to Buy agent will contact you before the fees start, to set up monthly payments with your bank. You’ll also be sent a statement about your loan each year.
Fees don’t count towards paying back the equity loan.
Your home may be repossessed if you do not keep up repayments on your mortgage
Selling your home & paying back the equity loan
The home will be in your name, which means that you can sell it at any time. You’ll have to pay back the equity loan when you sell your home or at the end of your mortgage period – whichever comes first. You can also pay back some of your equity loan without selling your home. You can pay back either 10% or 20% or the total amount, so long as the loan is worth at least 10% of the value of your home. Source: www.helptobuy.org.uk
Applying for an equity loan

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The information contained in this website is subject to UK regulatory regime and is therefore intended for consumers based in the UK
Terence Richard Humphreys, trading as Bespoke Mortgages incorporating Terry Humphreys Mortgage Services is an Appointed Representative of The Right Mortgage Ltd which is authorised and regulated by the Financial Conduct Authority