Help to Buy Scheme
Make the cost of moving more affordable with the government Help to Buy scheme, offering two new ways to buy a new Lovell home with just a 5% deposit.
Help to Buy: Equity Loan
Those looking to buy with Help to Buy: Equity Loan will only require a 5% deposit as the Government will provide up to 20% of the value of the property in an equity loan, allowing buyers to access mortgages of up to 75% of loan to value.
Help to Buy: Equity Loan is available on new build properties in England and is available to all homebuyers (not just First Time Buyers) and has no personal income restrictions. Although it is only applicable to homes which will be your primary residence (no buy-to-let) with a value of up to £600,000.
The Equity Loan can be repaid at any time. It will be interest free for the first five years and then charged at 1.75% of the market value of the property, rising annually by RPI plus 1%.
Help to Buy: Mortgage Guarantee
The Help to Buy: Mortgage Guarantee is also available on new build and existing homes. If you can afford the repayments but don’t have a large deposit (minimum 5%) the Mortgage Guarantee offers you a mortgage of up to 95% from participating mortgage lenders.
The lender can now offer up to a 95% mortgage as the Government will provide the lender with a guarantee of up to 15% of the property value, reducing the risk for lenders and enabling the lenders to offer you more competitive rates. The Help to Buy: Mortgage Guarantee scheme is available on all Lovell house purchases up to £600,000 in England, Scotland and Wales.
If you’re interested in finding out more about Help to Buy and how it can assist you get in touch with a Lovell development today.Help To Buy Calculator For more information and for full terms and conditions
download the Help to Buy Scheme Leaflet.