Am I eligible for the Help to Buy scheme?
Help to Buy Wales is available to all buyers who are buying a new build home up to the value of £300,000. There a few important things you should know about Help to Buy Wales:
- To qualify you will need to have a minimum of a 5% deposit.
- The Welsh government will give you a shared equity loan for up to 20% of the purchase price.
- You will need a mortgage to cover the other 75%.
As an example:
|For a property worth £300,000||Amount|
|Cash deposit of 5%||£15,000|
|Shared equity loan of 20%||£60,000|
|Your mortgage at 75%||£225,000|
If you were to sell then you would realise 80% of the value (your mortgage and the 5% deposit) and repay the government’s equity loan of 20%
If you were to remain in the property you would start to pay interest from year 6 at 1.75% of the original shared equity amount.
For further information please refer to the Help to Buy website.