Five benefits of Help to Buy
PUBLISHED: 14:01 06 March 2020 | UPDATED: 14:02 06 March 2020
Now is a great time to buy – and the government-backed Help to Buy scheme is valuable in providing the first or next step on to the property ladder.
For first-time buyers, the scheme is ideal for helping to secure a home which may otherwise have been out of reach. For those looking to move into a larger property to accommodate a growing family, Help to Buy allows them to do so comfortably.
From April 2020, a new Help to Buy: Equity Loan scheme will be in place, exclusively for first-time buyers.
Our top benefits of Help to Buy are:
1 Lower deposit means a quicker move
By using the Help to Buy scheme, you can save for your new home and get on - or move up - the property ladder in a shorter amount of time, because only a 5pc deposit is required. This makes a big difference to homebuyers who thought they couldn't purchase a home.
2 75pc mortgage allows you to access lower interest rates
With the scheme, 20pc of the mortgage is provided in the form of an equity loan from the government and 5pc from own deposit - so the amount you borrow for your mortgage is already reduced to just 75pc. This means you could get access to more competitive interest rates compared to a standard 90pc mortgage.
3 Interest-free loan for five years
The 20pc equity loan on your home is interest-free for the first five years, giving you peace of mind that you can settle into your new home and adjust to your budget before thinking about repayments.
4 New homes offer a blank canvas
Help to Buy is exclusive to new build homes, meaning property hunters looking to use the scheme can secure a brand new home with no DIY required, providing a blank canvas on which to make your mark.
5 You can re-use the scheme
A lesser known fact for those who have already used Help to Buy is that you can use it again. If you're upsizing from your first house, the scheme can help you to progress even further up the property ladder with a new home up to the value of £600,000.
For more information, please call the David Wilson Homes sales team on 033 3355 8489 or visit www.dwh.co.uk
This column is sponsored by David Wilson Homes.