Help To Buy Equity Loan Cut Off Date

Dinpraad

Am.hearing a few developers are now prioritising Homes that were going to be completed in January and February to be build complete for December  2020 for CML to be signed off to allow buyers to use help to buy to buy.

70Jenny2184

I wonder then, if a house priced within the regional cap is completed between January and March 2021, would a FTB have to wait until April 2021 to purchase if they want to use HTB?

[Deleted User]

70Jenny2184 said:

I wonder then, if a house priced within the regional cap is completed between January and March 2021, would a FTB have to wait until April 2021 to purchase if they want to use HTB?

You would be between schemes if a house was completed Jan, Feb, March 2021.   Effectively having locked you in to purchasing it but with no funding in place to do so.  Be very careful about exchanging contracts on a property that wont 100% be finished by end of December.   I would expect solicitors to be putting a long stop date of mid december in to contracts to be able to withdraw from exchange without penalty.  

JRG_4

70Jenny2184 said:

I wonder then, if a house priced within the regional cap is completed between January and March 2021, would a FTB have to wait until April 2021 to purchase if they want to use HTB?

This is the situation i'm in currently. Im not sure how it's going to work.

Walrus123

Interestingly there is a Covid delay faq on the gov.uk site:

https://www.gov.uk/government/news/information-for-help-to-buy-equity-loan-customers-during-coronavirus-covid-19#history
It makes no mention of December - all the answers refer to legal completion by March. Is this a glaring omission?

JRG_4

Walrus123 said:

Interestingly there is a Covid delay faq on the gov.uk site:

https://www.gov.uk/government/news/information-for-help-to-buy-equity-loan-customers-during-coronavirus-covid-19#history
It makes no mention of December - all the answers refer to legal completion by March. Is this a glaring omission?

I've seen a few people on here that have had there HTB application declined due to it not being built by December 2020.

Larkie71

Oue completion  has been put  back to Dec/Jan21. We were meant to exchange yesterday and the Taylor Wimpey are now saying Jan21. I spoke with our financial adviser who then spoke with HTB. She was informed we were ok. But the more I'm reading about CML I'm getting concerned. I will call HTB along with TW and solicitor etc. Today to verify. 

JRG_4

Larkie71 said:

Oue completion  has been put  back to Dec/Jan21. We were meant to exchange yesterday and the Taylor Wimpey are now saying Jan21. I spoke with our financial adviser who then spoke with HTB. She was informed we were ok. But the more I'm reading about CML I'm getting concerned. I will call HTB along with TW and solicitor etc. Today to verify. 

Thanks for sharing. Let us know the outcome

Larkie71

HTB confirmed we must have the CML in place before 31st December 2020, with a house completion of 31st March 2021.

We now have a battle on our hands. Our HTB offer expires in 20 days and they are turning more people away now, so we run the risk of not getting another offer. If we exchange and the builder has not done the CML before the end of December  (they are saying it should be done by the end of October), we will lose our HTB and wont be able to afford the house, possibly losing our deposit!  

JRG_4

Larkie71 said:

HTB confirmed we must have the CML in place before 31st December 2020, with a house completion of 31st March 2021.

We now have a battle on our hands. Our HTB offer expires in 20 days and they are turning more people away now, so we run the risk of not getting another offer. If we exchange and the builder has not done the CML before the end of December  (they are saying it should be done by the end of October), we will lose our HTB and wont be able to afford the house, possibly losing our deposit!  

Do you meet the requirements for the new scheme in April 2021 or not? Just wondering as me and my partner both meet the requirements for the new scheme and our new build is within the price cap.