Help to Buy - Wales
Supported by the Welsh Government, Help to Buy - Wales offers real, positive help to buy your new build home with only 5% deposit.
Help to Buy - Wales
We know how difficult it can be to climb the property ladder, whether you’re trying to get a foot on the first rung, or make your own way further up. One of the biggest barriers to buying your own home is the large deposit required by banks and building societies to secure a mortgage.
That’s why we support the Help to Buy scheme. Backed by the Welsh Government, it is designed to make buying your own home easier, as well as supporting building activity and a providing much-needed boost to the local housing sector.
How does Help to Buy work?
Help to Buy - Wales allows aspiring home owners to purchase new-build homes, with the assistance of a shared equity loan from the Welsh Government.
The scheme is available on properties up to the value of £300,000 and all you need to secure your home is a 5% deposit. The government will provide up to 20% of the value of the property in an equity loan, meaning you only need a 75% mortgage from a bank or building society.
The maximum amount you can borrow with the shared equity loan with Help to Buy - Wales is £60,000. There is no minimum loan amount.
So how much do you have to pay? If the market price of your chosen new home is £250,000 you would be required to pay a 5% deposit of £12,500. The Welsh Government would provide a shared equity loan of 20% totalling £50,000, leaving you to secure a 75% mortgage from a bank or building society amounting to £187,500.
Who is eligible for Help to Buy - Wales?
Help to Buy - Wales is open to everyone looking to purchase a new-build property - not just first-time buyers! Those participating in the scheme must be able to afford regular mortgage repayments, as with any other mortgage scheme, and they must be eligible to take out a mortgage with a lender. Buyers must also be able to afford a minimum 5% deposit.
Help to Buy - Wales Criteria
Help to Buy - Wales may only be used to purchase properties which will be used as your main home - the scheme cannot be used to buy a property which you plan to sublet.
- The equity loan can be repaid at any time.
- The loan will be interest free for the first five years.
- Thereafter, it will be charged at 1.75% of the market value of the property, rising annually by Retail Prices Index plus 1%.
- There will be a will a £1 per month administration fee, commencing upon receipt of the equity loan.
- Your equity loan is repayable after 25 years, or on the sale of your property whichever happens first.
- The total amount repaid by you will be the proportion of the market value of your home that was funded by the shared equity loan, as well as interest and charges. The scheme is a fantastic way of helping more people across Wales to become property owners - and it means that the new Lovell home you’ve been dreaming about is now within your reach! We offer the scheme on a number of properties throughout Wales - you can see if your perfect home is covered by Help to Buy - Wales by doing a property search, or by getting in touch with our friendly team today. You can find further information about the shared equity loan scheme in our infographic below, or download our Help to Buy - Wales leaflet, for the full terms and conditions. Help To Buy Wales Calculator For more information and for full terms and conditions
download the Help to Buy - Wales Leaflet. Download the