Help to buy schemes

It can be difficult for people to afford to buy a property, often because it is not possible to raise enough money for the deposit. The Government has launched two schemes to allow properties to be bought with just a five per cent deposit.

Help to Buy: Equity Loan:

  • Applies to new build properties only
  • Available to all, not just first time buyers
  • Requires a minimum five per cent deposit
  • Has no upper income cap for buyers
  • Means the Government will lend up to 20 per cent of the value of the property which can be re-paid at any time within a 25 year period or on the sale of your home
  • Interest free for the first five years
  • Requires a mortgage of up to 75 per cent of the property value
  • Applies if the property will be your main home

Help to Buy: Mortgage Guarantee scheme:

  • Available to all, not just first time buyers
  • Requires a minimum deposit of five per cent
  • Has a maximum home purchase of £600,000
  • Requires a mortgage for your purchase
  • Encourages lenders to offer low deposit mortgages with the security that the lender can claim money back from the Government if the purchaser defaults on the loan

Find out more about help to buy schemes in this district