Help to Buy Scheme Extended. What you need to know.
20 November 2020 by Lorraine King
This week, the government announced that the new Help to Buy scheme is open for business. The aim of this extended scheme is to provide more families with the opportunity to get on the property ladder.
First Time Buyers wanting to use the Help to Buy Equity Loan (2021 -2023) can reserve their new home using the scheme from 16th December 2020 but they cannot complete until 1st April 2021.
Am I eligible for the new Help to Buy scheme?
To be eligible for Help to Buy Equity Loan 2021-2023, you must be a First Time Buyer. You must not own a home or residential land now or in the past in the UK or abroad.
All applications made by anyone that is married or in a civil partnership will have to be a joint application with their spouse or civil partner. Under the new scheme, First Time Buyers will still be able to borrow 20% (40%) in London of the cost of a new-build home.
The buyer must pay a minimum 5% deposit for the home and use a help to buy mortgage to fund the remaining cost of the property.
With the existing scheme in place, buyers can continue to purchase new-build homes through the current Help to Buy scheme and will need to exchange and complete no later than the 31st March 2021.
Along with restricting the new loan to first-time buyers only, the Government has introduced regional price caps.
- North – £186,100
- North West – £224,400
- Yorkshire and the Humber – £228,100
- East Midlands – £261,900
- West Midlands – £255,600
- East of England – £407,400
- London – £600,000
- South East – £437,600
- South West – £349,000
Contact FJG’s dedicated New Build team
At Fisher Jones Greenwood, we understand the deadlines involved with buying a new property and have the experience and expertise to guide you through the process. If you are about to begin the process of buying a new build property, we have a dedicated new-build team, open extended hours for convenience, including Tuesday and Thursday evenings and Saturday mornings. To find out more, call 01206 700113, or email us at [email protected] or get a quote here.