Help to Buy equity loan scheme extended

The current Help to Buy equity loan scheme enables people to buy new-build homes with a 20% (40% in London) loan from the government - the buyer pays a 5% deposit and then takes out a mortgage on the other 75%. The loan allows buyers to pay it back with no interest on the first 5 years, giving them a bit of a boost to start the process. Following this the payments will be made with an additional 1.75% interest.

You are expected to pay back the value of your property, so should the price rise, so will the amount you owe and vice versa should it fall. This scheme has now been extended for those who reserved their home prior to June 30th 2020 and they must have experienced severe delays due to COVID-19.

For more information, visit the Help to Buy website here.