Help to buy equity loan twice

arronhamilton

Hello all,
Right I'll try and explain this as best I can. 
I currently live in an ex-new build property purchased with the help to buy equity loan. Im looking to buy another new build with the help to buy equity loan.

As I understand it  until it changes next year April 2021, you do not have to be a first time buyer to use the help to buy equity loan.

So when I sell my current house, it pays off my existing help to buy equity loan, I then should be able to use the help to buy equity loan again to buy this new property. This will be my only property and I will be living in it. 

On a side not, when remortgaging to buy a new property am I right in thinking you can use the increased equity from selling your current house as the deposit for the new house? Thus not having to save up another 5% or more? 

Thanks in advance for your help, looking forward all your expert advice 

Arron

EverythingIWant

You are right regarding equity, but you can only have another help to buy loan for your next purchase if you are within the interest free period I believe. So if you were to sell after 2 years you could buy another home using the scheme and have 3 years of interest free left, however once you get to 5 I think you become ineligible for the scheme. You can’t have a 5 year H2B followed by another etc if you get me. Could be wrong though..

MovingForwards

EverythingIWant said:

You are right regarding equity, but you can only have another help to buy loan for your next purchase if you are within the interest free period I believe. So if you were to sell after 2 years you could buy another home using the scheme and have 3 years of interest free left, however once you get to 5 I think you become ineligible for the scheme. You can’t have a 5 year H2B followed by another etc if you get me. Could be wrong though..

That makes absolutely no sense as the whole thing, and probably more, is paid off. I've not seen anything resembling this and think you may be getting it mixed up with Right to Buy, where that is apportioned.

@kingstreet is the resident MSE broker, who specialises in H2B mortgages, I'm sure he will have a link to the correct information.