How can the Help to Buy scheme help you purchase your new home?28 March 2018
Help to Buy is a government funded scheme that helps both first-time buyers and existing homeowners to purchase a brand new property. From two bedroom to five bedroom homes, house hunters can use the Help to Buy scheme in Devon to step onto or progress up the local property ladder.
By using Help to Buy, potential homeowners only need to put down a 5% deposit. The government lends you a 20% equity loan and a mortgage is secured for the remaining 75%. The equity loan is interest-free for the first five years and can be repaid at any time within 25 years (or the term of the mortgage) or on the sale of the property.
Take the Marshall house type at our Chulmleigh site, Ladywell Meadows, as an example of the Help to Buy scheme in Devon. This three bedroom detached home with a single garage has a full purchase price of £265,000. The Help to Buy purchase price is £212,000 which means you need a deposit of £13,250. The government will contribute a 20% shared equity loan of £53,000, and the remaining 75% will be covered by a £198,750 mortgage.
Available on a variety of homes across all of our sites, using the Help to Buy scheme in Devon can really help you on your way. However, house hunters should bear in mind certain conditions that apply:
- Help to Buy is only available on new build homes
- Your mortgage must be capital repayment (not interest only)
- Help to Buy is only available on properties occupied by the mortgage holder(s) (not buy-to-let)
- The property can’t be worth more than £600,000
- Help to Buy is NOT just for First Time Buyers
If you would like to find out more about how you can use the Help to Buy scheme to purchase a Devonshire Homes property, ask any one of our experienced Sales Executives for more information. Marketing Suite opening times may vary. Please check the web page of each individual site for opening times and contact details.