This scheme was designed to lend a helping hand to people who want to purchase a new property but are struggling with the large deposits required. Help to Buy – equity loans enables buyers to purchase a new property, funded by a mortgage and with help from the HCA.

Thanks to the scheme more than 77,000 people in the UK have been able to move since it was introducing in April 2013. This opportunity isn’t just for first time buyers either, it is available to anyone looking to purchase a new house up to the value of £600,000.

how does it work?

Lets do the maths

With a Help to Buy: Equity Loan the Government lends you up to 20% of the cost of your newly built home, so you’ll only need a 5% cash deposit and a 75% mortgage to make up the rest.

HELP TO BUY EXAMPLE – PROPERTY PRICE OF £349,950
5% CASH DEPOSIT = £17,497.50
20% EQUITY LOAN = £69,990
75% YOUR MORTGAGE = £262,462.50

You won’t be charged loan fees on the 20% loan for the first five years of owning your home.

•  ’Help to Buy’ is available to all new homebuyers, not just first time buyers
•  Minimum 5% deposit. A part-exchange from an existing property isn’t allowed
•  The property purchased must be your sole residence, and cannot be let out
•  You can not own a second property, even if it’s a Buy to Let or Permission to Let property
•  The Help to Buy mortgage must be taken for the entire mortgage amount
• You must choose a mortgage from our Help to Buy product range – repayment basis only
• You must have permanent right to reside in the United Kingdom
• The home must be built by a Help to Buy registered builder