Help to Buy
Equity Loan

For brand new homes in England.

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Help to Buy
Other Options

For other government schemes.

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Help to Buy Mortgage - Mortgage Guarantees


Mortgage Guarantees - How They Work

The fundamental difference between the Help to Buy Mortgage Guarantee scheme and the Equity Scheme is that The Equity Scheme is only for new build properties whereas the Guarantee Scheme is for older properties.

A mortgage supported by the Help to Buy Mortgage Guarantee Scheme works in exactly the same way as any other mortgage except that under the scheme the Government offers lenders the option to purchase a guarantee on mortgage loans.

Because of this support, lenders taking part are able to offer home buyers more high-loan-to-value mortgages up to 95%.

Example: for a home with a £200,000 price tag help to buy mortgage guarantee

Equity Loans

A mortgage under the Help to Buy Mortgage Guarantee Scheme works like any other mortgage. Your lender will check that you can afford the mortgage and that you do not have a history of payment difficulties.

To qualify for a mortgage supported by Help to Buy Mortgage Guarantee:

  • the property you are purchasing could be an existing or new-build home in the UK, priced up to £600,000
  • you must not own any other property anywhere in the world at the time you buy your home supported by the Help to Buy Mortgage guarantee Scheme
  • your mortgage must be a repayment one, not interest only. Offset and guarantor mortgages are also excluded from the scheme
  • you can’t let out the property to somebody else
  • your mortgage can be taken out by an individual or individuals but not by a company
  • You cannot use the mortgage guarantee scheme with any other Government scheme such as Help to Buy Equity Loan or shared ownership. Your deposit for the property can’t come from a government scheme either
  • you don’t have to pay any additional fee to Government to get a Help to Buy supported mortgage
  • The size of the mortgage you apply for must be less than 4.5 times your income.
The Help to Buy Mortgage Guarantee Scheme will run for three years until 31 December 2016.

The Help to Buy Mortgage Guarantee Scheme is run by Government-appointed Help to Buy Agents. The Help to Buy Agent for Wiltshire is Help to Buy South. At Impartial Financial Management we are able to guide you through your purchase, from providing general information about the scheme to helping find the right mortgage for you.