Schemes Available:



There are a number of schemes available designed to help those who are struggling to buy a home.

 

Speak to us today to find out if you qualify for any of the below.

 

Help to Buy - Equity loan scheme



In the recent budget, the new Help to Buy scheme was announced. This £3.5bn scheme is designed to help buyers purchase a home with only a 5% deposit and provides either an interest free loan for 5 years for a further 20% deposit

 

Details of the Help to Buy scheme

 

  • The scheme is available to all new homebuyers, not restricted to first time buyers
  • Only available to new build homes up to £600,000 property value
  • Only 5% deposit and a 75% mortgage is required
  • Loans can be repaid at any time or upon the sale of your home
  • No cap on income you earn to qualify
  • Buyers own 100% of their property

 

When will it become available

 

  • The Interest free loans are available from the 1st April 2013

 

Help to Buy is an expansion of the FirstBuy scheme which went live in 2011 and will run for 3 years. There are currently no plans to withdraw any of the existing schemes.

 

More information including details of criteria, rates available and communications from lenders has not yet been released. We will keep you up to date when this information is available.

 

Help to Buy - Mortgage Guarantee



The Help to Buy Mortgage Guarantee scheme will be available from January 2014. It is designed to help home buyers buy a property. It is not restricted to first time buyers or new build properties.

 

The borrower can borrow up to 95% of the property value from their lender and the government will guarantee up to 15% of the property value. This guarantee will be made to the lender.

 

Full details on this scheme are not yet available, please watch this space.

 

NewBuy



The NewBuy scheme allows borrowers to purchase a new build property, provided it is their main home, with just a 5% deposit, much lower than the normal deposits required. This scheme is available in England for newly built houses up to £500,000.

 

It is a Government backed 'mortgage indemnity' scheme that aims to help people with smaller deposits buy a new build home. It was launched in March 2012. It is aimed at first-time buyers and those who already own a home who only have funds for a 5-10% deposit on the home they wish to buy. The lenders participating in the scheme will provide a 90-95% loan-to-value mortgage for buyers meeting their qualifying criteria.

 

At present there are six lenders offering NewBuy mortgages. There are now many house builders operating the scheme and they have each joined forces with one of these lenders to offer NewBuy.

 

The scheme will be operated by the home building industry and mortgage lenders - the banks and building societies - working in partnership with the Government. The scheme is designed to protect the lenders against losses in the unfortunate event of repossession, which is why they are prepared to make 90-95% mortgages available.

 

Shared Ownership



Shared ownership allows borrowers to purchase a home on a part buy, part rent basis. Available through housing associations, borrowers can buy shares worth between 25- 75% of the property's market value and rent the remaining share on a subsidised scheme. A mortgage is required to pay for your share of the home's purchase price.

 

You can qualify for a shared ownership scheme if your household earns £60,000 a year or less, you're a first-time buyer (or you used to own a home, but can't afford to buy one now) and you rent a council or housing association property.

 

Right to Buy



Right to Buy allows council tenants to buy their council home at a discount. You can qualify for this scheme is the house you wish to purchase is your only or main home, it's self-contained, you're a secure tenant and you've had a public sector landlord (eg a council, housing association or NHS trust) for 5 years - it doesn't have to be 5 years in a row.

 

If you qualify for Right to Buy, you can get a discount on the market value of your home when you buy it. The maximum discount is £75,000 across England, except in London boroughs where it's £100,000.

 

The discount available will vary depending on a number of factors including how long you have lived in your council home, the property type and the value of your home.