Help to Buy with Millgate
The low deposit purchase scheme that could take you to a new Millgate home
You’ve probably heard of Help to Buy; it’s been around for a few years now and we offer this option at many of our developments.
What exactly is Help to Buy?
The scheme is provided by the Government and participating developers. It’s available on new properties costing up to £600,000 and requires only a 5% deposit. Purchasers get a 20% equity loan from the Government, so the mortgage is only 75% of the total cost, meaning more affordable monthly payments.
Who can apply for Help to Buy?
The low deposit makes it an ideal choice for first time buyers, but in fact anyone can use Help to Buy, whether you already own a home or not. The only restrictions are that it can only be used to buy your principal residence, and not for second homes, investment or buy‑to‑let properties.
What about paying off the equity loan?
The loan is interest-free for the first five years; then you are charged 1.75%. The loan is payable in full after 25 years or when you sell your home if that happens first.
Here’s how it works
Based on the purchase of a new home selling for £600,000
Things to consider
- It is only for full home ownership, not for shared equity or shared ownership.
- The mortgage must be capital and repayment, not interest only.
- Buyers must not receive help with their deposit from a local authority or other public body.
- Local Help to Buy agents will have to assess and approve your Help to Buy purchase before you go ahead.
For more information about a Millgate home or about the ways we can help you to move, please contact our sales office on 0118 934 3344.