Equity Loan - Help?

Donna_123

Hi,


I was just wondering, we are participating in the Help to Buy equity share scheme, the thing that worries me is this equity loan debt hanging off us that can only be paid in ridiculous sums of money!


Does anyone know whether it will be possible after the 5 years to remortgage and take on this amount (pay off the Gov't and extend borrowing?)


We are planning to save up some money (hopefully £12 - £15k) to reduce the remortgage amount (I hope you can do that?) The minimum equity loan repayment would be around £25k which is ridiculous!


Thanks

amnblog

You can pay off the Government via re-mortgaging at any time if it fits.

Thrugelmir

Donna_123 wrote: »

Does anyone know whether it will be possible after the 5 years to remortgage and take on this amount (pay off the Gov't and extend borrowing?)

That very much depends on your personal circumstances at the time. Overpaying the mortgage by whatever you could afford would help build more equity in the property. That would be helpful when you came to remortgage. If in doubt build your deposit more before buying.