Do you know about Help to Buy part 2, the Mortgage Guarantee Scheme?
Julie Taylor - Reeds Rains Mortgage Adviser
Research from local estate agents Reeds Rains shows that only 12.8% of people understand the Mortgage Guarantee Scheme which is the second part of Help to Buy (*) despite the fact that the help to buy scheme as a whole have helped over 50,000 people in the UK (**).
The second phase of the Government’s Help to Buy scheme (Mortgage Guarantee) was introduced last year, making getting on to or moving up the housing ladder more accessible. Home owners and first time buyers may now be able to purchase a home with as little as a 5% deposit.
Mortgage Adviser Julie Taylor from Reeds Rains in York explains Help to Buy part 2: “This scheme allows you to get a mortgage with just a 5% deposit and applies to all properties both new and old which are under the value of £600,000.
You must have a good credit rating and cannot apply for a Help to Buy mortgage if you have overdue amounts which are equivalent to three months’ payments on a mortgage or other loans in the past two years, had a County Court Judgment over £500 or bankruptcy order within the past three years. You will not be able to access mortgages under the scheme.
Reeds Rains offers professional advice to ensure people only borrow what they can reasonably afford to repay. When we meet our customers there will be checks to make sure they can afford their mortgage payments.
We will explain to you how mortgages work and contact you on a regular basis to talk through how your house hunting is progressing and keep you updated on the mortgage market.
Although many people may not understand Help to buy, we’re more than happy to explain it.”
To find out how Reeds Rains can help you in finding a mortgage or in buying or selling a property – simply contact the local team at Reeds Rains York, Queens House, York, YO1 6JH or telephone them on 01904 655546(***)
Reeds Rains - York branch
(*) Research conducted on behalf of LSL Property Services plc. Feedback is based on a sample of 452 Reeds Rains Landlords.
(**) The Week online 7/10/2014
(***) Calls maybe recorded for training and/or monitoring purposes.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.
An Administration Fee of £499 will be payable when you sign the Professional Fee Agreement upon mortgage application.