Government mortgage schemes

Daltonxlouise

Need any help possible please

Basically me and my partner went to see a new build apartment yesterday. We assumed it was rent but it turns out it's help to buy. The builder provides the 5% deposit and the government pays 20% deposit which is interest free for 5 years we pay £350 for 6 months while the mortgage is going through, once the mortgage is done the property belongs to us after 6 months and our mortgage payments stay at £350 a month. After 5 years Interest free the equity to the property should have built and they advise us to re mortgage to be able to pay off the 25,000 before the interest starts to add. Has anybody else heard of this we have so many mixed reviews it's making us doubt the whole thing

amograd912

Hi.


Just wondering if anyone can help me with the rules and regs on shared ownership as I am getting a lot of mixed messages and HM Help to buy are not being very helpful.


In 2013 I inherited 1/5 of a house in Ireland, I have been told by banks that I am not entitled to the first time buyer scheme as I am a homeowner whether I own 1/5 or a whole house.


Where do I stand with the shared ownership? am I still entitled to this? I consider myself a first time buyer as I have not lived in the house abroad and I didn't buy it and never intend to live in it.


I have already looked in to selling my share however, again I was informed by the banks that whether I sold my share or not, I would still not be entitled to any scheme. My boyfriend is a first time buyer. So this puts us in a little bit of a predicament.


Any help or advise is welcome.


Thanks.

smellygypo

Hi all,

My partner and I are looking to move into a larger new build house in Bristol next year. I (alone) own our current property outright. If we are able to cover 80% of the new property through selling our current home and family borrowing, will we still be eligible for a Help To Buy loan for the remaining 20% without taking out a commerical mortgage? Would it be better to take the loan out under my name, my partners or jointly?

Also, is it possible to pay back the loan within the 5 year period? Will we pay the orginal loan value or a higher value realtive to the house value rise over 5 years? What happens after the 5th year and how do the ineterst rates compare to commercial lenders? Is a Help to Buy loan our best bet or are there more cost effective ways for us to move up the housing ladder?

Thanks and sorry for all the questions, this is all a bit of a minefield!

kingstreet

No.

Minimum mortgage is 25% of purchase price.

smellygypo

kingstreet wrote: »

No.

Minimum mortgage is 25% of purchase price.

In that case, would I be able to take out the minimum 25% mortgage to qualify for HTB and pay it back instantly using the sale proceeds of my current property?

kingstreet

smellygypo wrote: »

In that case, would I be able to take out the minimum 25% mortgage to qualify for HTB and pay it back instantly using the sale proceeds of my current property?

No. The HTB loan cannot persist once the mortgage is repaid.

The second charge must be repaid before the first.

Have you read the guide and spent any time on the post-sales HTB Agent's site?

https://www.helptobuy.gov.uk/equity-loan/equity-loans/

http://www.myfirsthome.org.uk/

Vik1510

Hi all, looking for some advice. I currently own a HTB property in Scotland, this was purchased in Jan 2016. I then met my now partner and we are looking to move in together... sounds simple enough. Unfortunately he also bought a HTB in Sept 2016 just before we met.


Any advice? We would love to be able to rent his out but there seems to be so much tape in even attempting to get them to let us rent which they could then just say no. Also adding on to the mortgage seems to be an absolutely mine field as well..... what's the best option here?

kingstreet

You can't normally let a property while it has an HTB loan secured on it.

You can only "add on to the mortgage" to repay some or all of the equity loan.

Vik1510

Ok so best option here is to add it onto the mortgage? This is possible just seems like a lot of hoops to jump through to get the Govt. to approve this as well. They certainly don't want to make it easy for you to give them the money back!


Either option currently is looking like a couple thousand to get out of the loan.

Celeista

We are HA tenants of 24yrs+ in a block of 10 flats in England....5 are owned but the landlord refuses our requests for a right to buy stating they need to retain 50% of the stock (5 flats).

We're aged 55 and 51 ... and would like to buy somewhere small in the near future as we don't want to be paying rent in retirement...

Not optimistic the extended right to buy pilot will change the landlords decision...although the large discount would be really helpful if they did...

Would like to know if the landlord has a duty to help us move to another tenancy which is for sale and possibly could we take a portable discount with us..

Anyone experienced this before ?