This December sees the introduction of the new Help to Buy equity loan scheme which is designed to help first time buyers their first home.
You can only apply for this loan if you are a first time buyer who is purchasing a property in England. To “qualify” as a first time buyer you must not have owned any other property before (this includes abroad) and if you are buying with another person, it must also be their first property.
The property must be below a certain price for you to qualify and this is dependent on where the property is located. See our handy table below which sets out the maximum prices for you:-
|East of England||£407,400.00|
|Yorkshire and The Humber||£228,100.00|
Another condition is that the loan only applies to new-build properties and the property must be built by a Help to Buy-registered homebuilder, so make sure you check this! The site office at your desired location should be able to confirm this with you.
You can get a loan of up to 20% of the purchase price but you must contribute at least 5% deposit and you MUST get a mortgage for the amount not covered by the loan and deposit.
The first steps you’ll need to take if you’re thinking of using an equity loan are to reserve a home through a Help to Buy-registered homebuilder and ask them to provide our specialist new build team with a copy of your reservation form.
For more information contact your local Help to Buy agent:
or our specialist New Build Department on 01642 673 870 or firstname.lastname@example.org