executive collection of 4 & 5 bedroom homes
*Help to Buy is a government backed scheme that could help you move in to your Anwyl home with only 5% deposit. To qualify, you must be a first time buyer, your new home must fall within its regional price cap and be build complete from the 1st of April 2021.*
Equity loans of varying amounts depending on your region’s price cap are now available for first time buyers of newbuild homes. With Help to Buy England, the English government will lend you up to 20% of the property value through an equity loan. You’ll only need to secure up to a 75% mortgage from a participating bank or building society.
The equity loan is interest free for the first five years. However, from the time you receive the shared equity loan, you will be charged an administration fee of £1 per month for the duration of your loan period.
From year six, you begin to pay a monthly interest fee of 1.75% of the equity loan which will raise each year in April by the Retail Price Index (RPI) plus 2% until you replay your loan.
Your equity loan can be repaid at any time, in full, in two chunks of 10% or upon the sale of your home as long as it is repaid before the end of the loan period. The amount you borrow is a percentage of the value of your new home, meaning the repayment amount will rise or fall alongside the rise or fall of your property’s value.
Your dream home is worth £200,000
You need to contribute at least 5% of the property price as a deposit: £10k
The English government will give you a shared equity loan for up to 20% of the price: £40k
The mortgage lender. You will need a mortgage of up to 75% to cover the rest: £150k
For additional guidance, see the government’s homebuyer’s guide to Help to Buy: Equity Loan.
Please contact our homes advisor for more information and clarification on regional price caps for your chosen development.
For information on Help to Buy Wales, please click here