TL;DR
Help to Buy - key points
Help to Buy Equity Loan in England is closed to new applications. Existing borrowers still need to follow the loan’s repayment and consent rules.
Interest starts after the first five years and does not repay the loan. Repayment depends on the equity share and property value; the administrator handles formal consents and settlement with your solicitor.
New buyers should compare current alternatives such as Shared Ownership, First Homes where relevant, lower-deposit residential mortgages, family-supported options and affordability planning.
The right route should be checked before viewing properties, because each option has different rules, costs and lender criteria.
Has Help to Buy ended?
Yes. The Help to Buy Equity Loan scheme in England closed to new applications on 31 October 2022, and purchases had to complete by 31 March 2023. Older articles and developer pages may still mention it, but you cannot make a new application.
Help to Buy meant different things in different parts of the UK. Help to Buy – Wales is a separate Welsh Government scheme with its own rules and deadlines. Scotland and Northern Ireland have their own home-buying schemes. Check the current scheme for the nation where you are buying, or see UK government home-buying schemes for an overview.
The Help to Buy ISA was a separate savings account. It closed to new savers in November 2019, but existing account holders may still be able to use their bonus within the scheme deadlines.
If you already have a Help to Buy equity loan, see the section below on repaying, remortgaging or selling.
How did Help to Buy work?
Help to Buy Equity Loan helped eligible buyers in England buy a new-build home with a deposit of at least 5%. The government lent part of the purchase price as an equity loan, and the rest came from a standard repayment mortgage.
The equity loan is linked to the value of the home, not the original amount borrowed. If the property value rises or falls, the amount you repay changes too.
I already have a Help to Buy equity loan - what now?
Help to Buy equity loans taken out in England remain in place, even though the scheme is closed to new buyers. You must repay the full equity loan when you sell your home, when you pay off your main mortgage, or at the end of the loan term (normally 25 years), whichever comes first. You can also choose to repay earlier.
The equity loan was interest-free for the first five years. From year six interest is charged on the outstanding equity loan amount calculated from the original purchase price; part repayments reduce that amount. The interest rate rises each year under the rules for your version of the scheme. Interest fees do not reduce the amount you owe on the equity loan.
You can repay part of the loan (subject to a minimum of 10% of your home's market value) or all of it. The amount is based on your home's current market value, not the amount you originally borrowed. You will need a market valuation report from a chartered surveyor when you make a repayment.
If you keep some or all of the equity loan, switching lender or borrowing more requires permission from Homes England. Full repayment of the equity loan does not require that permission, but you must still follow the administrator’s repayment process and pay applicable fees. If you stay with your current lender without borrowing more, you may not need to apply, but check whether a Deed of Postponement is needed. Official guidance for existing equity loans is on GOV.UK. A broker can check whether a remortgage or repaying the loan fits your situation.
What alternatives can buyers consider?
The right alternative depends on where you are buying, deposit, income, affordability and whether you want a new build, resale property or Shared Ownership home. First Homes may also be relevant in some local areas.
Shared Ownership
You buy a share of the property and pay rent on the remaining share. Lender and housing provider rules both matter.
First Homes Scheme
In some areas, eligible buyers may be able to buy selected homes at a discount. Availability and local criteria need to be checked.
Low-deposit mortgage
Some buyers can get a mortgage with a smaller deposit, subject to affordability, credit history and lender criteria.
Affordability planning
For some buyers, improving credit profile, reducing debts, saving more deposit or using family support gives better long-term options.
What should first-time buyers check first?
Before focusing on a scheme, check how much you can borrow, how much deposit you have, what monthly payment is comfortable and what buying costs apply.
If this is your first home, use the First-Time Buyer guide as the starting point.
How to compare your options
A structured check avoids choosing a scheme before knowing whether the numbers work.
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Step 1
Check affordability
Review income, debts, deposit, credit history and monthly budget.
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Step 2
Compare routes
Look at standard mortgages, Shared Ownership and any family-supported options.
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Step 3
Check property rules
Some lenders or schemes have restrictions around new build, flats, leasehold or property value.
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Step 4
Get an AIP
An Agreement in Principle can help define a realistic search range.
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Step 5
Apply for the mortgage
Once a property is agreed, the lender checks documents, valuation and final criteria.
FAQ
Frequently asked questions
Can I still apply for Help to Buy?
No. The Help to Buy Equity Loan in England closed to new applications on 31 October 2022. Help to Buy – Wales is a separate Welsh Government scheme, and Scotland and Northern Ireland have their own home-buying schemes, so check the current scheme for the nation where you are buying.
Can I remortgage if I have a Help to Buy equity loan?
Remortgaging may be possible, but the route depends on what happens to your equity loan. If it is repaid in full, you do not need Homes England’s permission for the remortgage, but you must follow the repayment procedure. If any equity loan remains and you change lender or borrow more, you need permission and administration fees apply; staying with the same lender without extra borrowing normally needs no application, though a Deed of Postponement may be required. Check lender acceptance and the full costs before proceeding.
How do I repay my Help to Buy equity loan?
You can repay the whole loan, or part of it subject to a minimum of 10% of your home's market value. You must repay the full loan when you sell your home, when you pay off your main mortgage or at the end of the loan term (normally 25 years), whichever comes first. Repayments are based on your home's current market value, so you will need a market valuation report from a chartered surveyor. Official guidance and forms are on GOV.UK.
Is Shared Ownership the same as Help to Buy?
No. Help to Buy was an equity loan: you owned the whole home and borrowed part of the price. With Shared Ownership you buy a share of the home and pay rent on the rest, and both the lender and the housing provider have rules.
Can I buy with a small deposit without Help to Buy?
Possibly. Some lenders offer mortgages with smaller deposits, but approval depends on affordability, credit history, income, property type and the products available when you apply. Checking your budget first shows which options are realistic.
Should I choose a scheme before speaking to a broker?
Usually no. It is better to check affordability, deposit and lender criteria first, then compare which route suits you. Some schemes also restrict the property type or the area.