Are you a first-time buyer, tired of paying rent, who can afford mortgage payments but cannot raise a deposit of more than 5%?
Or do you already own a home but feel trapped because the value of your home has not increased, so you can only afford a 5% deposit on your next place?
Now could be a great time either to get on the property ladder and own your first home or to make your next move. Contact us today to see how Help to Buy could help.
Help to Buy: Equity Loan
For home-buyers, the Help to Buy: Equity Loan scheme is for people who wish to purchase a new build property but they cannot afford one in their area because of lack of income and insufficient deposit.
This includes first-time buyers who are trying to get on the property ladder and ‘second-movers’ wishing to move up the ladder to a bigger home.
Help to Buy Equity loans allow you to purchase a new build property with a minimum of just a 5% deposit. You can then borrow up to 20% of the property value from the government as an interest free loan.This leaves you being able to raise a 75% mortgage to cover the remaining cost of the home.
Loan payments are interest-free for the first five years, and then charged at a rate of 1.75% per year. The equity loan scheme is eligible for the purchase of any new build properties in England worth up to £600,000.
These loans are not available to Buy-to-Let landlords or second homeowners.
Help to Buy: Mortgage Guarantee
The Help to Buy: Mortgage Guarantee scheme helps home-buyers with good credit records who can afford to purchase the property outright with a deposit as low as 5%.
The government guarantee will encourage lenders to offer better access to low-deposit mortgages. The mortgage guarantee is available to existing homeowners as well as first time buyers for the purchase of up to £600,000.
This includes first-time buyers who are trying to get onto the property ladder and ‘second-movers’ wishing to move up the ladder to a bigger home.
These loans are not available for Buy-to-Let landlords, second homeowners or for a Shared Ownership purchase.
To learn more about us and how we can help you achieve your mortgage goals, just fill out our enquiry form or simply give us a call on 02380 642 018.