Help to Buy

Affordable conveyancing

for Help to Buy Schemes

In the recent budget (March 2013), Chancellor George Osborne announced two new Government measures under the "Help to Buy" brand, with both schemes intended to assist new or existing homebuyers to get on, or move up the property ladder

Help To Buy: Equity Loan

The first scheme, launched in April, is the "Help To Buy: Equity Loan", under which the Government can loan all New Build homebuyers between 10% - 20% of the value of their property. The loans, which are available up to a value of £600,000, are interest-free for the first five years; after which time, unless redeemed, buyers have to pay an annual fee. The Government effectively owns a percentage of the value of the property and will benefit from any increase in value when the owner sells it or repays the loan.

Help To Buy: Mortgage Guarantee

The second scheme, launched October 2013, is the 'Help To Buy: Mortgage Guarantee', designed to make more mortgages available up to 95% of loan to value by reducing the lender's need to hold large deposits. Under the scheme, the Government guarantees the loan up to 15 per cent of the overall mortgage value and, if the borrower defaults, the state, not the buyer or the lender, will be liable for a proportion of the losses.

The 'Help to Buy: Mortgage Guarentee' scheme is open to all buyers (excluding buy to let landlords) that can raise a minimum of a 5% deposit. Unlike the Equity Loan Scheme, which applies solely to New Build properties, it is available on all property types, although buyers with a deposit of more than 20 per cent will not be eligible.

We charge an affordable fixed conveyancing fee for Help to Buy transitions - please contact us for more information