Issues selling/part-exchanging a house with a Help to buy equity loan to pay off.

DHouch92

Hello, we are having issues with selling our first house as nobody from the acencies that we have spoken to know the full rules and regulations around houses with a Help to buy equity loan.

We purchased our current house in Gateshead approximately 3 years ago with the help of a H2B equity loan.
We are looking to move house to Eckington (near Chesterfield) and have found the house we would like to buy.
The new house would be bought with a traditional mortgage so we are wanting to pay off the H2B loan when we sell.
The potentially tricky part is that we are wanting to part exchange our current house for the new one with the development company.
Will us having our first house with H2B affect us part exchanging even though we intend to pay the loan back in full?
As of yet we have been unable to get a clear answer from Target or our local Help to buy agent.

Any help would be much appreciated!

Thank you, Dan

foxy-stoat

If you take a read of your documents you have with your H2B equity loan you will see that the property needs to be valued and any increase ( or decrease ) needs to be added or subtracted to the equity loan.

If you are looking at chopping this house in for another then you will be getting significantly less cash from your current property that it is actually worth.

Do you know what your current property is worth on the open market and what the part exchange figure is?