MSE News: Budget 2013: Help to Buy mortgage scheme to launch

morgie

For those of us already on the housing ladder looking to move the raising of the stamp duty thresholds would have been of considerably greater benefit.

philharriss

Take it none of this affects self build properties and mortgages - presume will only be for new builds from selected house builders.

saayinla

If the government truely want to Help, I in my opinion would have thought the Help to buy be applied to both Old and New build rather than Selling over prices houses to First time Buyers under the guise of helping then on to the housing Ladder when infact they are most likely taking on negative equity.

redpin_2

If I put 25percent towards the house, would I be able to still get the 20percent on top.

Wallhart

No it's 5-20%

jibbyboo

saayinla wrote: »

If the government truely want to Help, I in my opinion would have thought the Help to buy be applied to both Old and New build rather than Selling over prices houses to First time Buyers under the guise of helping then on to the housing Ladder when infact they are most likely taking on negative equity.

Agreed Saayinla.

So does anyone know what counts as a new build? Why is it solely for new builds that the scheme is offered?

BritishBulldog

Wallhart, where does it say that? Im not disputing your reply, just havent seen that top limit of 20%..on the HMRC website it merely says 'a deposit of as little as 5%'.
Either way, great news for the better half and i - We'll have a good £50-60k saved up by the end of the year (£30k in the bank at present), looking at houses in the £350-400k mark anyway, so a 'free' 20% (£70-80k) courtesy of the Halfwit in Number 11 will be most welcome.

Wallhart

Thomas_Hardy wrote: »

The word you are looking for is guarantee.

QUOTE]

Am I guaranteed to get a mortgage? Are there any criteria I need to meet?

For both schemes, borrowers will need to meet appropriate tests to ensure they can pay back the mortgage, as well passing their chosen lender’s credit and affordability checks.

http://www.hm-treasury.gov.uk/10012.htm

Unless you were just having a cheap pot at a spelling mistake

Wallhart

BritishBulldog wrote: »

Wallhart, where does it say that? Im not disputing your reply, just havent seen that top limit of 20%..on the HMRC website it merely says 'a deposit of as little as 5%'.
Either way, great news for the better half and i - We'll have a good £50-60k saved up by the end of the year (£30k in the bank at present), looking at houses in the £350-400k mark anyway, so a 'free' 20% (£70-80k) courtesy of the Halfwit in Number 11 will be most welcome.

What is Help to Buy?

Help to Buy is made up of two schemes – “equity loan” where the Government will loan you up to 20% of the value of your new build home and “mortgage guarantee” where lenders will be incentivised to make more mortgages available for people with small deposits.

http://www.hm-treasury.gov.uk/10012.htm


Edit: Sorry You mean the deposit you can put down.

Edit: It doesn't. the 20% deposit cap is on the guarentee scheme not the equity loan scheme

BritishBulldog

Aha, just seen it now on the HMRC website, deposit of 5-20% is correct.
Does the Govt contribution never need repaying then if you keep the house until the pop your clogs?