The Help to Buy: Equity Loan (2021 – 2023) is available to first time buyers. Raising a mortgage and deposit can be difficult, but with the Help to Buy : Equity Loan scheme you only need a 5% deposit* which is hopefully a much more achievable and affordable way to buy your new home.
So how does Help to Buy: Equity Loan work?
The Government will provide an interest free* equity loan of up to 20% of the value of the new property. If you have a minimum 5% deposit*, you’ll need to obtain a 75% mortgage.
When using the scheme, the maximum purchase price of a new home in the South East is £437,600 and £349,000 in the South West.
The Help to Buy: Equity Loan cannot be used in conjunction with any other promotion or scheme, and can be used to buy a new build home only.
Help to Buy: Equity Loan is now available on selected plots at our new development, Castle Farm in Windsor. Find out more >
*Help to Buy: Equity Loan (2021-23), England. Help to Buy is available subject to eligibility, terms and conditions. First-time homebuyers who meet affordability and lending terms can borrow an equity loan of up to 20% (40% in London) of the sale price of a new build home. How much you can spend on your home will depend on which region it is in. North East £186,100; North West 224,400; Yorkshire and the Humber £228,100; East Midlands £261,900; West Midlands £255,600; East of England £407,400; London £600,000; South East £437,600; South West £349,000. You must fund at least 80% (60% in London) of the sale price with a mortgage and at least a 5% deposit. Pay no interest on the loan for the first 5 years. Interest fees start at 1.75% and rise each year in April by the Consumer Prices Index (CPI) plus 2%. You pay a monthly management fee of £1 for the life of the loan. Homes England, the lender, secures the equity loan as a second charge on your Help to Buy home. You must repay the equity loan when you sell the home or pay off your mortgage. You can repay all or part (10% to 30%) of the loan any time before then. An independent financial adviser and a solicitor may be able to help you decide if Help to Buy is right for you. Your home may be repossessed if you do not keep up repayments on your mortgage, equity loan or other loans secured against it. https://www.helptobuy.gov.uk/equity-loan
Terms and conditions apply, this offer is subject to affordability and eligibility, and only available on selected developments and properties in England only. It is not offered with any other promotion. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP ON YOUR MORTGAGE.