Applying for help to buy equity loan

PrincessLou

Ok, so here are the facts -

We are looking to buy a bigger house with the help of a help to buy equity loan. I'm confused about the process as, from what I have read, you need to have reserved a new build home before you can put in a help to buy application.

My question is, to reserve a new build home we would have needed to have sold our home first BUT what happens if we go through all this and then get turned down for the help to buy equity loan? We would basically have spent thousands of pounds in fees just to have to buy another house at the same cost as our current one (as we can't afford a bigger house without help to buy).

Can you apply for help to buy before selling your home? It seems potentially very costly and a big risk if we sold our home and then got turned down for help to buy.

Is this making sense? Any help much appreciated!

libf

If you're worried you should speak to an IFA first about the loan. Most likely the builder will have one you can use for free, as they won't except your reservtion unless they're sure you'll get the loan.

The actual application will have to wait until you've reserved.

Do you gave affordability issues that make you worry about bring rejected? (Rough affordability terms are online but you'll need an IFA to do the full assessment for you.)

TBeckett100

Hello
Once your home is under offer you can apply

The reservation fee for a new build under Help to Buy is usually £500. I doubt they will bank your cheque until you have authority to proceed from help to buy

Affordability spreadsheet here
.http://www.plumlife.co.uk/About%20Us/News/Pages/Help-to-Buy---Equity-Loan---simple-to-buy.aspx

Have a play and as long as nothing goes red, you'll be ok

Get your selves a DIP with Halifax online to gauge what you can borrow (soft search)

Then when you know your figures stack up, find an independent adviser familiar with help to buy