Help to buy scheme

The Government's help to buy scheme consists of the help to buy equity loan, the help to buy ISA and the help to buy shared ownership scheme.

It also used to consist of the help to buy mortgage guarantee but this has since been discontinued.

The help to buy equity loan:

The help to buy equity loan is a government first-time buyer schemes which provides a help to buy equity loan to first-time buyers and home movers who have at least a 5% mortgage deposit.

The help to buy equity loan can be added to your mortgage deposit to increase your mortgage affordability.

The help to buy equity loan is available within the London region for properties of up to £600,000 and will offer the help to buy equity loan of up to 40% of the property price.

For properties outside of London the help to buy equity loan will offer up to 20% of the property price for properties up to £450,000.

he help to buy equity loan is interest free for the first 5 years and after the first 5 years you will then have to pay [interest]() at 1.75% per year and then plus 1% and RPI for every year after.

The Help to buy ISA

The help to buy ISA is a government scheme which allows you to save with it and earn a maximum of £3,000 as a government bonus. This is a 25% bonus on your help to buy ISA.

When you get the help to buy ISA you can pay an initial £1200 as a lump sum and then £200 a month thereafter.

The minimum bonus you can claim from the help to buy ISA is £400 so this means you would have had to save £1600.

Your conveyancer will help you claim the government bonus when you are completing on your home purchase.

You may also want to compare the lifetime ISA vs help to buy ISA to see which may be a better fit for you.

The help to buy shared ownership:

The help to buy shared ownership is a government schemes for first-time buyers and home movers which allows you to buy some shares of a property if you cannot afford the full property. You will then pay rent on the shares you don't own.

You can only buy between 25% to 75% initially and any further shares you want to buy will have to be done in a process called staircasing.