Help to Buy Equity Loan
Up to 20% interest free loan for the first 5 yearsBuy your new home with only a 5% deposit No interest payments on the help to buy equity loan for the first 5 years Available to first time buyers only from 1st April 2021 Available for the purchase of a new home only We advise and recommend on a comprehensive range of mortgages from across the market. Help to buy equity loan example- New property purchase: £250,000
- Help to buy equity loan: (20%)£50,000
- Customer deposit: (5%)£12,500
- Customer mortgage: £187,500
No interest is charged on the help to buy equity loan for the first five years. From year 6 onwards the customer is charged 1.75% per annum. For the initial percentage for the equity loan. After this, the fee will increase every year. This increase is based on the retail price increase plus 1%. Help to buy equity schemeFrom April 2013 the Government Help to Buy equity scheme was available for all buyers purchasing a new home. Unlike previous Government's initiatives, this scheme is open to all builders and or developers who register for the scheme. Former help to buy schemes were restricted to selected builders only so were unlikely to be as successful as the current help to buy equity loan scheme. Builders and developers can register for the help to buy equity scheme here http://www.homesandcommunities.co.uk/help-to-buy When the property that was purchase through the scheme is sold, it is mandatory that it is at the full market value. The selling price must therefore match the main mortgage lender's independent valuation. Purchasers cannot part-exchange their existing property for a Help to Buy equity scheme purchase. There are many mortgage lenders that will accept help to buy equity home loan applications. Home buy customers can sometimes have full access to the mortgage lenders products as they would with a normal purchase. Please contact Impartial for further information.From 1 April 2021, Help to Buy (HTB) in England and London is changing. The current scheme offers home movers and first-time buyers the chance to purchase a property up to £600k with a 5% deposit, and an additional Government-backed loan of up to 20%, interest free for five years.
The new scheme is open to first time buyers only and there will be regional house purchase price caps. This means the Help to Buy loan amount a customer can borrow will depend on the area they live in. Joint applications for the scheme must both be first time buyers. This will impact all HTB mortgages completing from 1 April 2021.
Help to Buy agents will start to take applications for the new HTB scheme from 16 December, which is when the new eligibility rules are introduced. About Us Impartial Mortgage & Protection is an Independent Mortgage Broker and Insurance Brokerage. Head OfficeEnterprise House, Ocean Village,
Southampton, Hampshire,
SO14 3XB As a mortgage broker, Impartial receives a fee from mortgage lenders, which is normally a small percentage of the loan we arrange. We do not charge a fee for mortgages over £100,000. For mortgages of under £100,000 there may be a fee for mortgage advice, the specific amount will depend upon your circumstances but our typical fee is £200
Impartial Mortgage & Protection Ltd is an Appointed Representative of The Right Mortgage Ltd, which is authorised and regulated by the Financial Conduct Authority. Impartial Mortgage & Protection Ltd. Registered office: Enterprise House, Ocean Village, Southampton, United Kingdom, SO14 3XB. This website and its content is copyright of Impartial - © Impartial 2016. All rights reserved. Company registration number 09648996.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE. Wills & trusts, conveyancing services, and most forms of buy-to-let mortgages are not regulated by the Financial Conduct Authority.
The guidance contained in this website is subject to the UK regulatory regime and is therefore targeted at consumers based within the UK. |