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Writer's pictureKate Furzer

2021 - 2023 Help to Buy Equity Loan Scheme

As a first-time buyer, searching for a newly built home, you may need a financial boost. With the government's Help to Buy: Equity Loan scheme, buying your own home could become a dream come true.


The new scheme will enable first-time buyers to borrow a minimum of 5% and up to 20% (or up to 40% in London) of the market value of a newly built home. The amount you can spend on the home depends on where in England you buy it. Who is eligible?

  • To take advantage of the scheme, you must be a first-time buyer.

  • You must not own a home or residential land now or in the past - in either the UK or abroad.

  • You should not have had any form of sharia mortgage.

How does it work? When purchasing a home with the Equity Loan scheme you will not pay interest on the equity loan for the first 5 years. You will pay interest in year 6, this will be on the equity loan amount you borrowed. At the exchange of contracts, you will be required to pay a deposit, this is 5% of the purchase price. 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.

Is the scheme right for me? If you already have a large deposit and can get a mortgage without the use of the Help to Buy scheme, you may not need to benefit from the financial boost. If you are unsure, contact us using the form below. We are here to help and answer any questions you may have. If you would like to know more about the scheme click here

How to apply: First-time buyers who are eligible for Help to Buy: Equity Loan (2021-2023) can apply now with a homebuilder registered for the scheme. Apply with a Help to Buy agent, in England, within the area where you would like to live. Find your local Help to Buy agent here.


Call us to get help with your mortgage on 0330 333 5065

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