Help to buy Mortgage
Looking to buy your first home? Discover how Help to Buy can make it easier to secure a mortgage with a smaller deposit. Learn how much you can borrow, what schemes are available, and how to apply – all with expert support every step of the way
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What is Help to buy?
A Help to Buy mortgage is a type of mortgage designed to help first-time buyers (and in some cases, existing homeowners) purchase a property with a smaller deposit, often supported by a government scheme. While the original UK Help to Buy: Equity Loan scheme ended in March 2023, the term is still commonly used to refer to similar support options for first-time buyers.
Here’s how a Help to Buy-style mortgage typically worked:
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Smaller deposit required: You could buy a home with just a 5% deposit.
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Equity loan from the government: The government would lend you up to 20% of the property value (40% in London), which was interest-free for the first five years.
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Mortgage for the rest: You’d take out a standard mortgage for the remaining amount (typically 75
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Only new-build homes were eligible under the official Help to Buy scheme.
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The property price limit varied by region.
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The government loan had to be repaid when you sold the home or after 25 years, whichever came first.
Mortgage Guarantee Scheme:
Make homeownership easier with less than a 10% deposit. This scheme offers an increased number of 95% loan-to-value mortgage deals on the market, giving you more flexibility. Act now as it has been recently extended to the end of 2023.
First Homes:
Benefit from a significant discount (typically 30-50% of market value) when buying a newly built home. Priority access is given to key workers and those on low incomes, ensuring you have access to affordable housing.
Shared Ownership:
Experience the middle ground between buying and renting. Purchase a share of a property with a local authority or housing association and gradually increase your ownership over time. This option allows you to scale your investment and build equity.
Right to Buy:
Specifically designed for those looking to purchase the council property they’re currently residing in, this scheme discounts the property’s market value. The discount can also be used as a deposit for your mortgage.
Alternatives to Government schemes
In addition to government schemes, there are alternative ways to secure a mortgage with limited deposit
Guarantor Mortgages:
Get support from a family member (usually a parent) who agrees to take responsibility for the mortgage if you face difficulty making payments. This arrangement typically requires a deposit amount, which can be covered by the family member’s savings or secured against their property.
Joint Borrower, Sole Proprietor Mortgages:
Allow a family member to share responsibility for the mortgage without being named on the deeds or residing in the property. This option provides flexibility and support.
The Lifetime ISA (LISA)
With a LISA, you can contribute up to £4,000 per year, and the government adds a 25% bonus at the end of the tax year, serving as a valuable mortgage deposit.
Why Choose Mortgage-Tek Mortgage Services
Get your right and on-point advice by our OMA-approved brokers. Working with Mortgage-Tek is simple and straightforward, here are the benefits we offer to our worthy clients.
FCA & CeMAP Certified
FCA-authorised and CeMAP-qualified, we deliver expert, transparent mortgage advice designed to give you confidence at every step.
Niche Market Experts
Whether you’re self-employed, dealing with credit challenges, or buying a unique property, our brokers have the expertise to guide you.
Dedicated to Fairness
We enforce a fair fee policy, ensuring brokers follow clear pricing and never charge clients more than the agreed capped amount.
Guided by Expertise
At Mortgage-Tek, we’re trained professionals with extensive financial expertise, helping clients make informed decisions.
Save Valuable Time
Managing finances can be complex. Our expert advisers handle the research and paperwork, helping clients save time and effort.
Custom Mortgage Plans
Our advisers carefully evaluate your finances and goals to provide personalised mortgage solutions at their best.