Help to buy question

TBeckett100

Hello,

We have a property to sell (assume 250k) and we'll have 80k equity.

We have seen a property at 520k we really like and they are under the H2B scheme.

So can I sell my home and just put down 5%, the gvt puts 20% and secure a 75% mortgage? With the leftover equity (lets assume after stamp and costs we have 30k left over), can we just overpay the mortgage with that (assuming they allow 10% overpayments?) or am i missing something?

kingstreet

Overpay the mortgage? Why?

Just get a smaller mortgage at a better rate in the first place.

It's 5% minimum deposit on HTB equity loan on newbuilds, not 5% maximum. As long as you borrow 25%, you can put down upto 55% deposit with a 20% equity loan.

lil_Amz99

I thought you had to be a first time buyer for help to buy..?

kingstreet

Nope.

Any property you own must be sold on, or before completion of the HTB property.