Help To Buy

Whether you’re a first time buyer or already on the ladder, the government’s ‘Help to Buy’ scheme could get you one step closer to moving into the home of your dreams. If you have at least a 5% deposit, the government will lend you another 20% for new homes up to £600k. This means you’ll only have to apply for a 75% mortgage while owning 100% of your new home. This equity loan is 100% interest free for the first five years, and you can pay it back within 25 years living in the property or if you ever decide to sell your home.

We could also incorporate/add the below: Help to Buy Option 1 - Equity Loan

  • You only need a 5% deposit

  • Available for new build homes

  • Available to first-time buyers and existing homeowners (who have sold their home)

  • The government will lend you up to 20% of the value of the new property

  • You will own 100% of your home

  • Equity loan is interest free for 5 years

Help to Buy Option 2 - ISA

  • Raise the deposit on your first home faster

  • Save up to £200 pm and the government will add an extra 25% - a £50 bonus for every £200 saved

  • To a maximum amount of £3,000 per person

How do I pay off the Government loan?

You won’t be charged loan fees for the first 5 years of owning your home. In the 6th year, you’ll be charged a fee of 1.75% of the loan’s value. After this, the fee will increase every year for up to 20 years. The increase is worked out by using the Retail Prices Index plus 1%.

Help to buy calculator

Minimun value is 100000.
Minimun interst rate is 0.75%.
Property Value
Estimated Monhtly Mortgage repayment£1,193
5% Deposit£16,700
20% Help to Buy Equity loan£133,600
75% Mortgage£183,700
Property value£334,000

Help To Buy FAQS

How do I find my nearest Newett Homes office?

You’ll find details of your local Newett Homes office in the contact page.

Who is eligible for Help to Buy?

The Help to Buy Equity Loan scheme is available to both first time buyers and existing home owners. You will need a minimum 5% deposit to qualify. There is no maximum household income to qualify for the scheme, and you can purchase a property with a maximum value of £600,000 in England, £300,000 in Wales and £200,000 in Scotland. The Help to Buy Equity Loan scheme is exclusive to new-build homes only. 

How long will the Help to Buy scheme run for?

The popular Help to Buy Equity Loan scheme has been extended until 2021 through a further £8.6billion in government funding - read more here.

Is Help to Buy a shared ownership scheme?

No. With Help to Buy Equity Loan, you purchase 100% of your home and legally own 100% of your home. 

How do I find out about events held by Newett Homes in my area?

Just contact your local Newett Homes office and they’ll let you know what’s coming up.