Help To Buy
Help to Buy – Scotland
Help to Buy is a Scottish Government backed equity loan scheme, which means you could buy a brand new Panacea Property home by putting down as little as a 5% deposit.
This scheme was created to aid first time buyers looking to get on the property ladder.
Here’s how it works:
- You provide 5% deposit for your new home
- You receive an equity loan from the Scottish Government for up to 15% of the property value
- You secure up to an 85% mortgage from a bank or building society
The maximum price of properties included in the scheme will reduce each year as follows:
- 1st March 2016 – 31st March 2017 the maximum property value is £230,000
- 1st April 2017 – 31st March 2018 the maximum property value is £200,000
- 1st April 2018 – 31st March 2019 the maximum property value is £200,000
What if I sell my Help to Buy home in the future?
The Help to Buy equity loan must be repaid in full when you sell your home. If you received a loan for 20% of the value when you bought the home, you will have to pay back 20% of the value when you sell. This means if your home has increased in value, you’ll have to pay back a little more than you borrowed.
An independent valuer will decide what your home is worth and your home needs to be sold on the open market.
If you have already paid back your equity loan, there’s nothing else to pay back to the scheme.
Forces Help to Buy
What is the scheme?
Regular armed forces personnel can benefit from a £200 million scheme to help them get on the property ladder. The Forces Help to Buy scheme enables servicemen and servicewomen to borrow up to 50% of their salary, interest free, to buy their first home or move to another property on assignment or as their families needs change.
The pilot scheme, which launched in April 2014 and has now been extended to 2018, aims to address the low rate of home ownership in the armed forces.
Who can use the scheme?
All regular personnel who:
- have completed the pre-requisite length of service
- have more than 6 months left to serve at the time they apply
- meet the right medical categories
However, it is recognised that there may be instances where exceptions to the standard rules may be justifiable, especially where there are extenuating medical and personal circumstances.
How much can be borrowed under the scheme?
This scheme allows service personnel to borrow up to 50% of their annual salary, to a maximum of £25,000. This can be used towards a deposit and other costs such as solicitor’s and estate agent’s fees.
How to get it?
Servicemen and servicewomen can apply for the loan online through the Joint Personnel Administration system and can seek advice on their application through their Chain of Command and personnel agency.
SPECIAL COMMENDATION AWARDED IN THE HERALD'S PROPERTY AWARDS FOR SCOTLAND 2017