With the current Help to Buy Extension taking the deadline to 31st May 2021, the new Help To Buy scheme will start to be rolled out and you may wonder what that means for you.

The main changes from the current Help to Buy Scheme to the new Help to Buy Scheme is that the new scheme is only available to First Time Buyers and each region has it’s own price caps.

How Does Help To Buy Work?

When using the Help To Buy Scheme you put in a minimum of a 5% deposit and the government contributes with a 20% deposit. This brings your deposit up to a minimum of 25% of the purchase price. The remaining 75% is funded through a mortgage.

The 20% deposit from the government is interest free for 5 years after this interest is charged monthly. You have the option of repaying this back prior to the 5 years however and is usually repaid through re-mortgaging the property.

Please note the Help To Buy Scheme is only available to new build properties.

If you are interested in more information on the Help to Buy Scheme call one of our expert brokers on 01233 512170.