Help to buy

If you're looking to get on the property ladder, the government's Help to Buy scheme could be for you.

What is Help to Buy?

Help to Buy is a popular government-backed scheme that helps first time buyers get their first home with just a 5% deposit. You just need to take out a mortgage for 75% of the value of the house and the remaining 20% will be funded by the government.

Download our first time buyer guide

If you were to buy a £300k home with Help to Buy, here's how the costs would look:

300k example house value

Who is Help to Buy for?

Help to Buy is ideal for first time buyers or existing home owners who have found their dream home but can’t afford the full deposit.

How does Help to Buy work?

You won’t be charged any interest on the government loan for the first five years of home ownership, after that, you’ll be charged a fee of 1.75% that will increase by 1% each year. Once the property is sold, all you’ll need to do is repay the loan from your property’s sale value.

Help to Buy: London

With ever-increasing house prices and sky high deposits, London is filled with people who can’t afford to buy the homes they rent. That’s why the government has introduced a London-specific Help to Buy scheme for house hunters in the capital.

What's the difference with Help to Buy in London?

The upper loan limit is increased from 20% to 40% for homes in all London boroughs. So, if you put down a 5% cash deposit then you’ll only need a 55% mortgage to become a homeowner in London.

Are the fees any different with Help to Buy in London?

Just like the standard Help to Buy scheme, there are no fees payable on this loan for the first five years of home ownership, after which point you’ll be charged a fee of 1.75%. This will increase by 1% each year. Once the property is sold, all you’ll need to do is repay the loan from your property’s sale value.

Download our first time buyer guide

Do you qualify for help to buy?

  • You have a 5% deposit available
  • You want to buy a new build home in the UK
  • You are able to take out a mortgage for 75% of the value of the home
  • You can afford the monthly mortgage repayments
  • The home you buy under the scheme is your only residence
  • You are not a buy-to-let investor and will not own any other property after completion

FAQs: Help to Buy

  • When will I need to pay back the full loan?

    • Although you’ll start paying interest on the equity loan after the first five years, you won’t actually need to repay it in full until you either sell up or come to the end of your mortgage term – whichever comes first. 
  • What happens when I want to move

    • If you want to sell your Help to Buy home, you’ll need to repay the loan you received to buy it. The repayment amount will be based on the market value of your home when you sell it. 
  • Where does the funding for the Help to Buy come from

    • All Help to Buy schemes are funded by the Government through Homes England.