Shared Equity Mortgages
Shared equity mortgages are associated with the Government's FirstBuy Shared Equity scheme. The FirstBuy shared equity scheme is solely for buying selected new-build properties. FirstBuy is open to key workers and those first time buyers with an annual household income of less than £60,000. The purchase of the property is made up from an equity loan, a small deposit and a shared equity mortgage. The advantage of the equity loan is that it will attract either no interest or a nominal almost insignificant interest depending on the scheme. It is payable on the sale of the property or you can pay it off before.
Some of the housebuilders will offer equity loans on specific properties - you will need to find out who in your area is offering these incentives. New housebuilders may have offers. You can make contact with a mortgage advisor to advise you on how to secure a shared equity mortgage.
With the FirstBuy shared equity mortgage scheme the first time buyer only owns all of the property. You would provide a 5% deposit, take out a 75 - 80% shared equity mortgage and also a 15-20% shared equity loan. The equity loan is interest free for the first 5 years and a nominal rate is charged thereafter. The equity loan is payable on the sale of the property at the latest.
Contact your HomeBuy Agent.
Take shared equity mortgage advice.
Features, advantages and disavantages of specific first time buyer mortgages including shared equity mortgages:
100% Mortgages l Cashback Mortgages l High LTV Mortgages l Graduate Mortgages l Professional Mortgages l Mortgages with Parents l Guarantor Mortgages l Family Offset Mortgages l Mortgages with Friends or Family l Mortgages at University l Rent a Room Mortgages l Affordable Mortgages l Interest only Mortgages l Part Repayment Part Interest Mortgages l Interest-free Start Mortgages l Shared Ownership Mortgages l Poor, Adverse or Poor Credit Mortgages l Key Worker Mortgages l Shared Equity Mortgages l 30, 35, 40 year term mortgages
Other mortgage guides, advice and useful pages:
Mortgage Comparison - First Time Buyer Mortgages - About First Time Buyer Mortgage Advice - First Time Buyer Mortgage Brokers - Buy to Let Mortgages for First Time Buyers - Remortgages for First Time Buyers - Shared Ownership Mortgages - Help with Mortgages for First Time Buyers - Mortgages for Parents of First Time Buyers - Shared Appreciation Mortgages - Shared Equity Mortgages -Joint Mortgages - Financial Advice for First Time Buyers - Overseas Mortgages for First Time Buyers - Request First Time Buyer Mortgage Advice - Find your First Property - New-Build Gifted Deposit Deals - Best First Mortgages Comparison Table
www.cml.org.uk – council of mortgage lenders.