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Early repayment of help to buy.
ginger_tosser
Posts: 6 Forumite
Hi
We are looking at HTB with a 55% deposit, 25% mortgage (minimum allowed) and 20% HTB equity loan. We actually have enough saved for a 70% deposit.
My question is, if we repaid the mortgage from the left over savings (plus a bit more hard work saving) within the first 5 years can we carry on just paying the 1.75%+ fee for the next 20 years or does the HTB equity have to be redeemed at the same time as the mortgage?
We are looking at HTB with a 55% deposit, 25% mortgage (minimum allowed) and 20% HTB equity loan. We actually have enough saved for a 70% deposit.
My question is, if we repaid the mortgage from the left over savings (plus a bit more hard work saving) within the first 5 years can we carry on just paying the 1.75%+ fee for the next 20 years or does the HTB equity have to be redeemed at the same time as the mortgage?
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Comments
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I know it's not an answer to your question and perhaps demonstates my naiveity regarding help to buy but why would you bother with it when you have over a 50% deposit to put down?
I just assumed it was for people who could just about scrape together a 5 to 10% deposit.0 -
No. The HTB loan cannot remain if the mortgage is repaid.I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.0
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