The Government has created a Help to Buy scheme to assist people to buy their own home with a deposit as little as 5%.
Help to Buy Equity Loans are available to first time buyers and homeowners looking to move. You'll only need to secure up to a 75 per cent mortgage from a bank or building society, which your Blackstone adviser can arrange for you. The Government will lend you an equity loan up to 20 per cent of the property value, which can be repaid at any time during the loan term or on the sale of your home.
There are no interest (loan fee) payments on the equity loan part for the first five years of owning your home. We have access to a superb range of competitive mortgages, which will help your budget.
To qualify, the home you are looking to purchase must be a new build, your only home (not a second home or a property you plan to rent out) and must not cost more than £600,000.
You may be able to get on the property ladder with just a 5% deposit
Step one is to work out your finances with your mortgage adviser and then visit house builders to find a potential new home. Before paying the reservation fee, speak to us to get a mortgage 'Decision in Principle'. This will provide you with an approximate idea of the size of mortgage you would qualify for.
We will be delighted to advise you on your purchase to make things as simple as possible and find and arrange the right mortgage for you. A Home Buy agent will organise the government "equity loan" part.
Mortgages are subject to the scheme rules and the lenders normal checks and criteria. Help from your Blackstone mortgage broker is invaluable to help you prepare and to arrange a successful mortgage offer.
Example: for a home with a £200,000 price tag
If the home in the example above sold for £210,000, you'd get £168,000 (80%, from your mortgage and the cash deposit) and you'd pay back £42,000 on the loan (20%). You'd need to pay off your mortgage with your share of the money.
"I decided to purchase a new house under the governments help to buy scheme at very short notice. The whole process was beginning to get very confusing until I appointed Blackstone as my financial adviser.
My adviser dealt with the house builders, help to buy agent, lender and solicitor. My mortgage offer was obtained in just 10 days. I was delighted to move on time or would have lost the property. My adviser also explained and sorted out my life cover and home insurance once again very efficiently. All of the team were courteous and superb throughout and went that extra mile to pull out the stops for me. I couldn't have done it without them."
Get in touch
Contact us at either our Bristol or Keynsham office, or book a consultation.