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Find out more about Help to buy with Move Revolution
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WELCOME TO HELP TO BUY WITH MOVE REVOLUTION

We are thrilled to be working with an exceptional portfolio of developers with properties that are part of the Help to Buy Government initiative. The following information will give you an overview of the scheme and how it could support you to buy your first home.

Overview of Current Scheme 2021

The new Help to Buy: Equity Loan scheme was launched on 1 April 2021. It is for first-time buyers and includes regional property price limits to ensure the scheme reaches people who need it most. The new scheme will run until March 2023. As with the previous scheme, the government will lend homebuyers up to 20% of the cost of a newly built home, and up to 40% in London. Deposit required: At least 5% of the price of the home. Ownership: Full ownership. Government has an equity share up of to 20% (up to 40% in London), until you repay the equity loan.

Homebuyers must contribute 80% of the home’s price, for example, with a minimum 5% deposit and up to 75% mortgage. In London, homebuyers must contribute at least 60% of the home’s price. The equity loan, the deposit you have saved, and your repayment mortgage cover the total cost of buying your newly built home. The percentage you borrow is based on the market value of your home when you buy it. You do not pay interest on the equity loan for the first 5 years. You start to pay interest in year 6, on the equity loan amount you borrowed. The equity loan payments are interest only, so you do not reduce the amount you owe. You can repay all or part of your equity loan at any time. A part payment must be at least 10% of what your home is worth at the time of repayment.

Paying Back the Equity Loan

When deciding if an equity loan is right for you, it’s important to consider the full cost of your borrowing: For the first five 5 years: the equity loan is interest free, you pay a £1 monthly management fee by Direct Debit. From year 6: pay the £1 monthly management fee, pay monthly interest fee of 1.75% of the equity loan interest rate will rise each year in April by the Consumer Price Index (CPI), plus 2% continue to pay interest until you repay your loan in full. When you take out your equity loan, you agree to repay it in full, plus interest and management fees.

You must repay your equity loan in full: at the end of the equity loan term, when you pay off your repayment mortgage, when you sell your home, if you do not follow the terms set out in the equity loan contract and we ask you to repay the loan in full. The amount you pay back is worked out as a percentage of the market value at the time you choose to repay. If the market value of your home rises, so does the amount you owe on your equity loan. And if the value of your home falls, the amount you owe on your equity loan falls too.

Who is Eligible?

To be eligible for Help to Buy: Equity Loan (2021-2023): you must be a first-time buyer, the new build home you buy must be within the relevant regional price cap. You and anyone you are buying a home with must: not own a home or residential land now or in the past in the UK or abroad, not have had any form of sharia mortgage finance.  Your Help to Buy financial/mortgage advisor will check if you’re eligible for the scheme. They use an eligibility calculator tool to check your monthly income and outgoings, including household bills and estimated mortgage repayments in the calculations. Anyone who is married, in a civil partnership, in a co-habiting relationship, either now or on legal completion, will have to be a joint application with their partner or spouse. You will need to sign a legal declaration to confirm that you are a first-time buyer. Your conveyancer will explain this to you. Before you get started, make sure you have the funds to pay for: a fee to reserve your home (up to £500) a 5% deposit on exchange of contracts (if you have a larger deposit, pay the rest on completion) other fees on completion (stamp duty, legal fees and mortgage fees). Check that the equity loan meets your needs and that you can afford to repay it. Consider seeking independent advice to help you understand your financial situation.

Things to Know Before You Apply

Help to Buy: Equity Loan is not a discount scheme or a price reduction – the purchase price of the new home will be the same whether you buy it with or without an equity loan. The equity loan is only interest free for the first 5 years, you will begin to pay interest from year 6. The total equity loan amount you repay is linked to the value of your home at the point of repayment, and not the amount you borrowed. You must have a repayment mortgage, and it must be valid for the duration of the equity loan. An equity loan is secured against your home by a legal charge in the same way a repayment mortgage is. Help to Buy: Equity Loan is exempt from regulation by the Financial Conduct Authority. For anymore information please visit www.ownyourhome.gov.uk/scheme/help-to-buy-2021-2023/

Buying Your New Home with Move Revolution

You are in safe hands with the Move Revolution team, with excellent customer service (900+ five star reviews) across all our in-house services your purchase will progress as smoothly as possible. You will have your own Sales Co-ordinator dedicated to the purchase of your home.  We will also recommend solicitors who also offer excellent service.

At present we are experiencing exceptionally high demand for properties. If you would like to find out more about our current Help to Buy portfolio just call 0330 223 1000 or fill in the form below. With offices throughout Surrey and Sussex we will put you through to the right Move Revolution office for you.

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An absolute pleasure.
Danielle and Dylan have been an absolute pleasure to work with- good communication, friendly and flexible! A huge thank you to them for minimising the stress of moving house!
By Charlotte
Quick, reliable and efficient.
Dan and the team provided a great experience in selling our home. This was a new thing for us and they were always available to answer any queries we had. Nothing was too much for them. Would certainly recommend them to anyone looking to sell their home and want a whole team that is ready to guide them through every step of the way. Quick, reliable and efficient. Thanks!
By Nadeem