If you are looking for an experienced Help to Buy solicitor in Devon or Somerset then Slee Blackwell are here to help you.
The Help to Buy Equity Loan scheme is funded by the government to assist people in purchasing their own home.*
Under the Help to Buy scheme the government will provide you with funds to purchase your new home with the aid of an Equity Loan.
The maximum sum available under the Help to Buy scheme in England is £120,000, with a higher figure available in London.
To take advantage of the Help to Buy scheme you must be able to fund a deposit of at least 5% of the cost of the property you are buying. A mortgage makes up the balance of the purchase price.
After five years an annual fee of 1.75% is charged on the money that is loaned to you by the government. This payment is linked to the Retail Prices Index, plus 1%.
The Help to Buy loan has to be repaid after 25 years, or earlier than that if the property is sold.
The repayment is based on the proportion of the market value of your property that was funded under the Help to Buy scheme. This will reflect the market value of your home when repayment is made. So if your property increases in value while you own it the amount the amount that will need to be repaid to the government will increase proportionally.
For full details of how the Help to Buy Equity Loan scheme operates and whether you are likely to be eligible visit the government’s helpful website or call our free legal helpline on 01271 372128.
If you are looking for an experienced Help to Buy solicitor and would like to know what the legal fees will be you can find out by using our online Request a Quote facility.
JANUARY 2023 UPDATE
Please note that the ‘Help to Buy Equity Loan’ scheme was closed to new applications on 31st October 2022, with existing applicants being given until 6pm on 31 March 2023 to complete their home purchase.