Help-to-buy Equity Loan
Saving the deposit you need can be a long and tiresome journey.
The government’s Help to Buy scheme allows for you to buy a home with as little as a 5% deposit and have lower mortgage repayments than you would with a standard mortgage arrangement.
Available throughout the UK, the scheme is eligible for First time buyers as well as home movers. It allows you to take out an equity loan of 20% (40% in London) of the property value from the government. This, combined with your 5% deposit, means that you’ll only need a 75% (55% in London) mortgage on your home.
Users of the scheme will not be charged any loan fees on the equity loan for the first 5 years of owning the property; After 5 years interest fees will begin to apply. Blue-print Mortgages will also be able to assist you in leaving the scheme at the end of the interest free loan period should you wish to do so.
You can find out more about the conditions of the scheme by visiting the governments Help to Buy website