To reflect the current property prices in London, from 1 February 2016 the Government is increasing the Help to Buy: Equity Loan scheme’s upper loan limit from 20% to 40% for buyers in all London boroughs.
IDM Estates has a number of New Build homes to sell under the Government’s Help to Buy scheme. This initiative enables both first time buyers and current homeowners to take steps towards purchasing a new home with a value of up to £600,000 and deposits from as little as 5%.
To find out if you qualify, come in and speak to one of our agents,
or call us on 020 7739 1650 (Option 1).
How does it work?
The London Help to Buy scheme could help you realise the dream of owning your own home in the capital. When you put down as little as a 5% deposit on a newly built home, you can get a Government equity loan – for up to 40% of the purchase price.
If the home in the example left sold for £420,000, you would get £252,000 (60%, from your mortgage and the cash deposit) and you would pay back £168,000 on the loan (40%). You would need to pay off your mortgage with your share of the money.
You won’t be charged loan fees on the 40% loan for the first five years of owning your home.
Aldermore, Bank of Scotland, Barclays, Halifax, Leeds, Lloyds, Nationwide, NatWest, Royal Bank of Scotland, Santander, Teachers and TSB offer London Help to Buy.
Who is eligible?
London Help to Buy equity loans are available to first time buyers as well as homeowners looking to move. The home you want to buy must be newly built with a price tag of up to £600,000.
You won’t be able to sublet this home or enter a part exchange deal on your old home. You must not own any other property at the time you buy your new home with London Help to Buy.
How to apply
The London Help to Buy scheme is run by the Government-appointed Help to Buy London agent. They can guide you through your purchase, from providing general information about the scheme to dealing with your application.
To open the door to owning your home in London, contact the Help to Buy agent for London:
– helptobuylondon.co.uk
– 0300 5000996
Or look out for the Help to Buy logo on new-build developments and ask about the scheme there.
You can get more help and advice from the Money Advice Service and other useful contacts.
Frequently asked questions
The London Help to Buy scheme is a variation of the main Help to Buy: Equity Loan scheme. If you have further questions you should look at our Help to Buy: Equity Loan scheme FAQ or contact the Help to Buy agent for London.
Other London schemes
The Help to Buy agent for London provides the administration of the Help to Buy: Equity Loan scheme only. They cannot guide potential purchasers on wider housing options.
To explore all other low-cost home ownership options in Greater London please visit the Mayor’s First Steps for London website.
Alternatively you can explore many national housing schemes that could help you buy in the capital on the Government’s Own Your Home website.
Relevant letting fee and tenant protection information
As well as paying the rent you may also be required to make the following payments
Permitted payments:
Before the tenancy starts payable to IDM Estates Ltd:
Holding deposit (1 weeks rent)
Deposit:
5 weeks rent (for properties where the annual rent is less than £50,000)
6 weeks rent (for properties where the annual rent exceeds £50,000)
During the tenancy (payable to the agent)
Payment of up to £50 (Incl. VAT) to change the tenancy
Payment of interest for the late payment of rent at a rate of 3%
Payment for the reasonable incurred cost for the loss of keys/fobs/security devices
Payment for any unpaid rent or other reasonable costs associated with your early termination of the tenancy
Please note that lettings agents are required by law to publish on their websites information for potential tenants about relevant fees, redress schemes and client money protection schemes (including the names of those schemes). Relevant fees must also be published on third party websites, such as Rightmove.
