You are here:
Help to Buy

Help to Buy

Move with just a 5% deposit

Help to Buy available across England

Help to Buy scheme

Help to Buy scheme example

If you're buying in England ask about the HM Government-backed Help to Buy scheme.

Available to first-time buyers and people already on the property ladder, you'll need just a 5% deposit and a repayment mortgage of up to 75% of the value of the property. The remaining 20% of the full purchase price is lent to you by HM Government in the form of an equity loan. You won’t be charged interest on the 20% equity loan for the first 5 years of owning your home.


What is Help to Buy and how can it help you?

The HM Government-backed Help to Buy scheme
  • Help to Buy: Equity Loan is available on new-build properties in England up to £600,000
  • There's no household annual income limit and it's available to all types of home buyers.
  • You only need: - a minimum 5% deposit; and - no more than a 75% repayment mortgage
  • HM Government will lend you an equity loan of up to 20% of the full purchase price of the home, it's interest-free for the first five years.
  • You can repay your Help to Buy: Equity Loan at any time, when you sell your home,or you can wait until the end of its term
5% deposit + 20% equity loan + 75% mortgage = 100% home ownership

Help to Buy: Equity Loan calculator

Use our calculator guide to find out how Help to Buy: Equity Loan could help you buy a new home with just a 5% deposit.

Are you looking for a property in:
  • Adjust the slider or enter the amount of deposit you have available to purchase a home. The higher the deposit amount, the higher your Help to Buy: Equity Loan budget will be. This calculator assumes that the minimum allowable deposit for ‘Help to Buy: Equity Loan’ is 5%.

    Your deposit

    How much deposit do you have?

    x Please alter your amount to between the minimum and maximum figures.
    Max £30k Min £1.9k
    £
  • The Government could lend you up to 20 of the value of your property through an equity loan, which will be interest free for the first 5 years and can be repaid at any time or on the sale of your home. The Government could lend you up to 20 of the value of your property through an equity loan, which will be interest free for the term of the loan and can be repaid at any time or on the sale of your home.

    Help to Buy: Equity Loan

    The Government could lend you up to 20 of the home value.

    x Please alter your amount to between the minimum and maximum figures.
    Max £120k Min £7.6k
    £
  • You will only need to secure up to a 75 mortgage – qualifying for some of the best rates available.

    Mortgage

    Mortgage required

    x Please alter your amount to between the minimum and maximum figures.
    Max £450k Min £28.5k
    £

Your results

  • Your deposit
  • Help to Buy: Equity Loan
  • Your mortgage

Your results

  • £2,000Your deposit (5%)
  • £8,000Help to Buy: Equity Loan (20%)
  • £28,500Your mortgage (75%)
Your budget with
Help to Buy: Equity Loan
£38,000

Help to Buy FAQs

Where are the schemes available?

The HM Government-backed Help to Buy scheme is available across all Persimmon developments in England up to £600,000. 

Can you clarify the equity loan element?

In England, HM Government will provide you with a Help to Buy: Equity Loan up to 20% value of the full purchase price of the property. This loan is interest-free for the first five years. From year six you will be required to pay an interest fee of 1.75% of the amount of your Help to Buy: Equity Loan, rising each year after that by the increase (if any) in the Retail Prices Index (RPI) plus 1%.

What are the repayment terms of equity loans under the Help to Buy scheme in England?

You can repay the equity loan any time within the first 25 years (or the term of the mortgage), or when you sell the property. In addition it is also possible to repay part of the equity loan subject to certain limits and criteria.

Are equity loans under the Help to Buy scheme in England available on pre-owned homes?

No, this scheme is only available on new-build homes like those built by Persimmon.

Can I use Help to Buy: Equity Loan if I already own a home?

Yes - this scheme is available to both first-time buyers and existing homeowners.

Are equity loans under the Help to Buy scheme in England available under a buy-to-let option?

No - this scheme is only available to purchasers using the property as their main residence.

What types of mortgage are available with equity loans under the Help to Buy scheme?

You must arrange a repayment mortgage.

Where can I get independent financial advice?

Persimmon can put you in touch with a list of recommended independent financial advisers who can assist you every step of the way.

Help to Buy terms and conditions

Help to Buy: Equity Loan
Help to Buy: Equity Loan scheme is available on plots in England, with a full purchase price up to £600,000, subject to status. Eligible applicants will be offered an equity loan of up to 20% of the purchase price at the open market value. Applicants are required to fund at least 80% of the purchase price with a conventional main mortgage and minimum of 5% deposit. For the first five years there is no interest charged on the equity loan. At the start of year six, 1.75% interest is payable on the equity loan, which rises annually by RPI inflation plus 1%.  The equity loan is provided by the Government's Homes and Communities Agency (trading as Homes England), and held as a second charge on the Help to Buy home. Terms and conditions apply. Applicants should seek independent financial advice, and get information and guidance on applying for a Help to Buy: Equity Loan at www.helptobuy.gov.uk

**Available on selected plots subject to status. Terms and conditions apply.

A professional legal adviser is required to carry out the legal formalities of buying the home and to represent your interests. Persimmon can provide you with a list of recommended solicitors and/or financial advisers as necessary. Persimmon cannot advise you on a mortgage. The Help to Buy: Equity Loan scheme is subject to availability and may be withdrawn at any time without notice. Not to be used in conjunction with any other purchase assistance scheme, offer or promotion. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE, YOUR EQUITY LOAN OR OTHER DEBT SECURED ON IT. For full details on the Help to Buy: Equity Loan scheme please visit www.helptobuy.gov.uk

Help to Buy: Equity Loan customer testimonials

Hannah's story - First time buyer
Watch video

Emily's story - Moving up
Watch video

Roger's story - Existing homeowner
Watch video

Help to Buy related links: