Help to Buy Staircasing Advice

Storm0505

Hi all

I'm looking to start paying off some of my help to buy equity loan. The loan is 20% which at time of purchase was £46,000 and I do not believe the value has gone up that much so for arguments sake let's say it's now £50,000. I can't afford to pay off the full amount so am looking in to Staircasing and paying off an initial 10%.

My question is this: if I do pay 10% off now how does that affect what I owe going forward? I know you need to get the property valued each time you want to pay anything off so does that mean that after the initial 10% is paid I only owe 90% of the 20% of property value?? Hope that makes sense!

kingstreet

No.

It's 10% of the property value, ie half the loan, not 10% of the loan.