Help to Buy
Spiralling house prices, tight mortgage lending criteria and the requirement for huge deposits have made it increasingly difficult for individuals, couples and families to buy their first home.
However, with the help of the government backed Help to Buy scheme it is now possible for first time buyers (that couldn’t otherwise afford it) to get on that all important first rung of the property ladder.
There are two parts to the scheme:
- Help to buy equity loan – this scheme is only available on new build properties that have a purchase price of up to £600,000. It is available to both first time buyers and existing homeowners, but the property you buy must be your only residence and is not available to buy to let investors.
You will only need a 5% and the government will lend you up to 20%. A mortgage will need to be applied for from a commercial lender for the remaining 75%.
- Help to Buy ISA – a help to buy individual savings account (ISA) is a high interest savings account available for people buying their first property and is available at most high street banks and building societies.
You can earn up to 2.53% interest tax free and then the Government will add 25% free cash on top of what you save providing you and the property purchase meet the qualifying criteria.
The ISA can be used for a property with a full market value of up to £250,000 (outside of London).
Our team fully understands the complexities around the help to buy scheme and can help you purchase your first property with ease.
Check out what some of our past clients have to say about our residential conveyancing team and service here