Help to Buy
In the Government's budget in March 2013, it was announced that a new shared equity scheme - Help to Buy - would be launched on the 1st April to support purchasers of new homes in England.
The scheme is being offered to home buyers by Parkes Homes on properties at Scholars Gate, Sedgley and The Ironmaster, Bradley, Bilston.
Here's what you need to know:
- If you have 5% deposit and want to buy a new-build home, you’ll be able to access the Help to Buy equity loan scheme – subject to approval.
- Help to Buy is available for any new-build home buyer, purchasing up to a price of £600,000.
- You don’t need to be a first-time buyer.
- The Government will provide buyers with an equity loan of up to 20% of the value of a new-build property.
- The loan is interest-free for the first 5 years.
- From Year 6 a fee of 1.75% is payable on the equity loan, which rises annually by Retail Price Index inflation plus 1%.
- The equity loan can be repaid at any time within 25 years (or the term of the mortgage), or when the property is sold.
- Help to Buy is only available on Capital Repayment mortgages. It’s not available on Interest Only loans.
- Help to Buy is only available on properties which are occupied by the individual or individuals taking out the mortgage. You cannot buy a property using Help to Buy and then rent it out.
- Help to Buy is currently available until 31st March, 2021
- Our Independent Financial Adviser can give you information on the lenders supporting the scheme and, subject to meeting that lender’s criteria, help you obtain a mortgage.
- To find out more, speak to our Sales Adviser, Jeanette Tanton.
To find out more about Help to Buy then visit the main website here.
