It’s an exciting time in the housing market right now and there’s never been a better time to buy as a first time buyer. We want to make sure you’re in the know about your options and the help you can get, so here’s a bit of a lowdown on support out there. We can help manage this for you, so don’t be shy, just ask.
Help To Buy Equity Loan
Help to Buy is a much welcome Government-backed equity loan scheme enabling you to move into a new home with just a 5% deposit.
So whether you’re a first time buyer or you’re moving on from your existing home, Help to Buy can make that home owning dream a reality.
What is Help to Buy?
Help to Buy is exclusively available on all new build properties
The Government provides an equity loan of up to 20% of the value of your property which is interest free for 5 years
The Help to Buy equity loan can be repaid at any time or on the sale of your home
You then need to secure up to a 75% mortgage.
Available on new build homes up to £600,000 in England
Looking for more information? Read up here https://www.helptobuy.gov.uk/equity-loan/equity-loans/ or feel free to get in touch with us for a chat.
Help To Buy Shared Ownership
There is another way too to get on the property ladder. It’s all good news isn’t it! If you need to bring the mortgage payments down, Help To Buy Shared Ownership could be for you.
It offers you the chance to buy a share of your home (between 25% and 75% of the home’s value) and pay rent on the remaining share. Later on, you could buy bigger shares when you can afford to.
You could buy a Maple home through Help to Buy: Shared Ownership in England if:
You earn £80,000 a year as a household (outside London)
You‘re a first-time buyer, you used to own a home but can’t afford to buy one now or are an existing shared owner looking to move
Looking for more information? Read up here: https://www.helptobuy.gov.uk/shared-ownership/#sthash.KL6tBv7t.dpuf
Help to Buy ISA’s
If you’re a first time buyer saving for a mortgage deposit then a Help to Buy ISA is for you -save your money into a Help to Buy: ISA and the Government will boost your savings by 25%. It’s really a no-brainer!
How does it work?
For every £200 you save into the Help to Buy ISA you’ll land yourself a government bonus of £50
The Help to Buy: ISA is available from a range of banks, building societies and credit unions
– The accounts are available to each first time buyer, not each household. This means that if you are planning to buy with your partner, for example, you could receive a government bonus of up to £6,000 towards your first home
– Save up to £200 a month into your Help to Buy: ISA. To kickstart your account, in your first month, you can deposit a lump sum of up to £1,200. The minimum government bonus is £400, meaning that you need to have saved at least £1,600 into your Help to Buy: ISA before you can claim your bonus. The maximum government bonus you can receive is £3,000 – to receive that, you need to have saved £12,000
When you are close to buying your first home, you will need to instruct your solicitor or conveyancer to apply for your government bonus. It will then be added to the money you are putting towards your first home. The bonus must be included with the funds consolidated at the completion of the property transaction. The bonus cannot be used for the deposit due at the exchange of contracts, to pay for solicitors, estate agent’s fees or any other indirect costs associated with buying a home.
Want more information? Read up here https://www.gov.uk/government/publications/help-to-buy-isa-factsheet
Find out if you’re eligible for a Help to Buy: ISA here. https://www.helptobuy.gov.uk/help-to-buy-isa/who-is-eligible/
We hope that all makes sense but if not don’t fret. We have a friendly team of mortgage advisors who can walk you through the whole thing. Give us a ring on 0800 2055577 to book an appointment.By Maple Homes in Help to Buy, Homes, Maple