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Bewley to host Help to Buy Workshops at Oakham Park and Jubilee Meadows

12 Jul 2018

Over a period of 4 years*, Help to Buy Equity Loan has assisted with the purchase of just under 280,000** homes in England.  But, many members of the public still don’t fully understand what Help to Buy is and who is eligible to apply for it.  That is one of the reasons why design led developer, Bewley Homes, will be hosting a series of Help to Buy Workshops at some of its Surrey and Berkshire developments over the course of the Summer months. 

28 July – Oakham Park, Crowthorne

11 August – Jubilee Meadows, Hersham

Claire Gibbins, Head of Sales Bewley Homes, says:  “So much of our core market is driven by Help to Buy and, at some of our developments as many as 90% of the sales have utilised this Government Scheme. 

“However, much of the criteria surrounding Help to Buy remains essentially misunderstood.  We are hoping that, by making financial and legal experts available at our designated Help to Buy workshops, prospective purchasers can learn all they need to about Help to Buy and, as a result, make a fully informed decision about their property purchase.  It is also an opportunity for buyers to view the wide selection of properties we are offering for sale which fall within the Help to Buy threshold.”

What you may not know about Help to Buy Equity Loan:

  • It is available to all purchasers – not just first-time buyers
  • It is only available on new build homes costing up to £600,000
  • Not all mortgage companies do Help to Buy mortgages
  • You cannot own any other property – anywhere
  • You won’t be able to sublet this home
  • You won’t be able to enter into a part-exchange on your old home

The way it works:

Help to Buy is an equity loan scheme set up by the Government in which the Government will lend up to 20% of the cost of a new build home, so buyers only need to provide 5% of the purchase price as a cash deposit, with the remaining 75% being made up by a mortgage.  The Government won’t charge loan fees on the 20% loan for the first five years of owning your home. 

So, to put that into perspective, if your new build house costs £200,000; the Government loan will cover £40,000 (20%); you would provide £10,000 (5%) as a cash deposit; and a commercial lender will cover the cost of the additional 75%, in this example, £150,000.  If you then come to sell your home and it has appreciated in value – let’s say it sells for £210,000; as the homeowner, you’d get 80% (the combination of the 75% mortgage and the 5% deposit) back and you’d have to pay back the mortgage from this sum; and you’d have to pay the Government back £42,000 to cover the 20% loan. 

If you are considering Help to Buy, get professional advice – either from a mortgage company, a solicitor or Help to Buy South on 0800 4561188 or visit helptobuysouth.co.uk