Help to Buy: Equity Loans

How does it work?

Help to Buy

Help to Buy: Equity Loans

How does
it work?

Help to Buy


  • Help to Buy: Equity Loan, is a loan from the government that you put towards the cost of buying a newly built home in England
  • You will need to have a deposit of at least 5% of the purchase price and a deposit
  • You can borrow between 5% and 20% of the price of a new-build home
  • The maximum property price is the full purchase price which is £349,000 in the South West
  • When you take out an equity loan, you do not pay interest for the first 5 years
  • When you repay your loan in full or in part, the amount you pay back is worked out as a percentage of the market value, at the time you choose to repay

To be eligible for Help to Buy from April 2021:

You must be a first-time buyer

The new build home you buy must be priced at £349,000 or under in the South West

You and anyone you’re buying a home with must not own a home or residential land now or in the past in the UK or abroad

Those buying a home must not have had any form of sharia mortgage finance

A joint application will need to be made if applicants are married or in a civil partnership