Help to Buy Scheme
Looking to buy a new home but only have a small deposit? The government-backed Help to Buy Scheme can help you to get on the property ladder and own your own home. The scheme allows buyers to get a new build property with a deposit as little as 5%.
When buying a new home, you must complete the legal ownership process known as conveyancing.
At Banner Jones, we have a wealth of experience dealing with conveyancing under the Help to Buy scheme. We explain the entire process in a straightforward and uncomplicated manner. For a free, no obligation quote call
How the Help to Buy Scheme works
You need a 5% deposit to qualify. The government will provide you with a 20% deposit that is interest-free for the first five years. However, after five years you will pay a monthly administration fee.
The equity loan from the government must be paid off in full, by one of the following terms whichever happens first:
- After 25 years
- At the end of your mortgage agreement
- When you sell your home
On an equity loan, you will always pay the same level of interest rate. However:
- If your property increases in value, you will pay more money back.
- If the property loses value, you will pay less back than you borrowed.