Help to Buy: Equity Loans
The Help to Buy: Equity loans are open to both first-time buyers and home movers on new-build homes in England with a purchase price up to £600,000.
How it works
- You’ll need to contribute at least 5% of the property price as a deposit
- The government will give you a loan for up to 20% of the price
- You’ll need a mortgage of up to 75% to cover the rest
Equity Loan Fees
You won’t be charged loan fees for the first 5 years of owning your home.
In the sixth 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%.
For more information on the Help to Buy: mortgage guarantee scheme who can apply and to find out if you are eligible, please visit Help to buy - Equity Loan
Help to Buy: Mortgage Guarantee Scheme
The Help to Buy: mortgage guarantee scheme can help you buy a newly built home or an existing property with a deposit of as little as 5%. This scheme is not administered via Help to Buy Agents; you must contact participating lenders directly for more information.
How it works
The scheme works by offering lenders the option to purchase a guarantee on mortgages where a borrower has a deposit of between 5% and 20%.
To qualify for the mortgage guarantee scheme, you must pass lender affordability checks and have no history of difficulties in meeting debt payments.
For more information on the Help to Buy: mortgage guarantee scheme who can apply and to find out if you are eligible, please visit Help to buy - Mortgage Guarantee.