Help to Buys Mortgage

Utotzi

Hello

I am in the process to buying a new home via a main developer & I am taking advantage of the Help to Buy Scheme,

I found a broker from the governments website and all seemed to be going well, my lender has asked for proof of deposit so they have proof of my 5% but have asked for proof of the 20% government equity loan but no-one seems to know who arranges this for me, my broker and solicitor seem to think its the building developers who sort this but I would have thought it was my broker.

Does anyone have any experience of this scheme? or does anyone know for sure who should arrange the equity loan.

Thanks

chanz4

Your broker and developer should know, if not find another one as they need to submit it to orbit. You can download the orbit form ( or similar for your area)

kingstreet

When you reserve the property, a copy of the reservation form and property information form is emailed to your local HCA HomeBuy Agent for approval. To confirm that approval, an Authority To Proceed (ATP) is emailed to broker, developer and solicitor.

NatWest, for example, requests a copy of the ATP at the application stage. The mortgage application should not be submitted until the ATP is in hand, just in case your application is rejected for some reason.

The list of HCA HomeBuy Agents for each area is listed in the back of the HTB Guide;-

http://www.homesandcommunities.co.uk/sites/default/files/our-work/help_to_buy_buyers_guide_august_2013.pdf

ethank

I think that you should not apply for the mortgage until you have the ATP, because if the HomeBuy Agent thinks you can afford a larger mortgage and less Help to Buy support they can give you 10% instead of 20%. Therefore the ATP tells the Mortgage Broker how much must be mortgaged.

Kingstreet was very helpful in sharing the HTB calculator.

Utotzi

Thanks all, i found my local homebuy agent and submitted the application with my reservation form, so just waiting to hear now

kingstreet

You've done it yourself?

I hope you left nothing blank.

Did you prepare a copy of the calculator to send with the PIF/RES?

Are you applying for a 25 year mortgage? The HBA will assume it's 25 years, unless you put the different term in your submission email and tell them it's for affordability reasons.

Utotzi

Yep I did it myself, my local agent EMHomebuy said it is acceptable to submit my own request, I spoke with them after sending to check and they confirmed it was all completed ok.

I am indeed having a 25 yr mortgage, Ill let you know how i get on

Utotzi

Just had confirmation that i now have my ATP

kingstreet

Blimey!

It's taking Catalyst and Orbit upto a week to get them turned around.

Nice one.

Utotzi

I do feel like I've had a lucky day, emhomebuy did tell me yesterday that they were turning them round in 24hrs, I think they were a bit annoyed that my IFA had already submitted my application but I had to point out that I found my IFA from the list of local recommended ones off their own website.