Helping First Time Buyers Access The Market
TALO Homes understand the limitations first-time buyers face when looking to purchase their first home, that’s why we’ve been approved to offer the government-backed Help to Buy Scheme to buyers who are eligible. The help to buy scheme is not only for first-time buyers, it’s also available for homeowners looking to move.
How Does It Work?
Help to buy is a simple process: Once you’ve decided which of our modern, eco-friendly properties you’d like to purchase, simply put down a deposit of 5% and the government will provide you with an equity loan of up to 20% of the value of the property. The other 75% of the properties cost will be paid off by the mortgage that you apply for. The equity loan is interest-free for 5 years and repayable across 25 years or on the sale of the property if earlier.
For example, if one of our properties costs £100,000, you would just have to put down a £5,000 deposit and the government will match you with a £20,000 equity loan and you pay the rest back as a £75,000 mortgage.
Who Can Apply for Help to Buy?
The help to buy scheme is tailored to first-time buyers as well as homeowners looking to move, however there are certain conditions you must meet to be able to apply for the help to buy scheme. The home you wish to move to must be a new-build and must have a price tag below £600,000. You cannot sublet your home once it has been bought, nor can you enter a part exchange deal on your old home. You must not own any other properties at the time you apply for your Help to Buy Equity Loan.
For further information, you can visit the government’s Help to Buy website or contact us here at TALO Homes. This scheme applies to new builds in England only. Other Governments including those of The Scottish, Welsh and the Northern Ireland Housing Executive run similar schemes.