Will the planned changes to the current scheme impact you? Definitely read on if you are thinking of taking advantage of the Governments’ Help to Buy equity loan as you may lose out if you don’t act now!
From April 1st 2021, the Government’s Help to Buy Equity Loan for newly built homes will ONLY be available to first time buyers, so if you are already a home owner and still want to take advantage of this scheme, you need to get a move on!
How the Scheme Currently Works
Designed to help people buy their own newly built home, the scheme currently requires first-time buyers or existing home owners to provide a minimum 5% deposit, with the government lending up to 20% (or 40% if you are in London) of the cost of your home. The government equity loan is interest-free for the first five years. The outstanding balance of up to 75% is then covered by a traditional mortgage. This scheme applies to new-build homes only, with a price tag of up to £600,000.
Additional eligibility criteria apply so check these out at the Help To Buy website, where you’ll also find details about how your interest payments will be calculated once the five years are up.
You can still apply to the current scheme but you will need to complete the purchase process by March 2021.
Key Changes Effective from 1st April
- The new scheme will ONLY be available to first-time home buyers.
- A new regional price cap will be introduced. For the South West this has been set at a maximum of £349,000.
- Full details of the new scheme are available here.
There’s no time like the present to discover your dream Strongvox home in various West Country locations. Make an appointment to visit us today. Our sales centre just opened on October 31st at Laurel Hill, Cribbs Causeway in Bristol, and from November 7that Gateway Grove , Weston-super-Mare. Alternatively you can visit us at Wedmore Grange, Wedmore or any of our other current developments such as Russet Copse, Sandford and Cadbury Fields, Congresbury. We look forward to seeing you soon!