HOW TO DO REMORTGAGE WITH HELP TO BUY ?
REMORTGAGE WITH HELP TO BUY
Help to Buy is a scheme that was launched by the government back in 2013 so that buyers who are buying a property for the first time can have an easier experience. Under the scheme, home buyers can take out a 75% mortgage where they have to pay only a small amount of deposit of 5%. The remaining, i.e., the 20% will be paid by the government as a loan. The scheme has proved to be extremely beneficial for people who wish to buy a property in the United Kingdom which itself is a huge task and involves a lot of burdens and hard work.
With regard to the Help to Buy scheme of remortgage, the scheme is said to expire in March 2023. A lot of remortgage providers are hesitating to provide services for Remortgage with Help to Buy. When the original Help to Buy mortgage deals gets over, which is usually for a time between 2-5 months, the person can go for a remortgage. In case the borrower doesn’t get a new deal, he or she has an option to switch to the Standard Variable Rate (SVR) of the lender which is expensive. Therefore, a Deed of Postponement request should be made to the scheme provider in case the borrower is switching the lender.
How to get a remortgage with Help to Buy ?
Remortgaging deals concerning Help to Buy depend on the time at which you’re planning to remortgage. Help to Buy is a great idea if the value of your property has increased since the time you took your mortgage. As the value of the property has increased over the years, the equity can be used as the source of the bargain. Therefore, the LTV Ratio may decrease if you add the lump sum and thus, there will be an overall improvement. A person opting for remortgage will also get an option to extend the term period of the mortgage in UK. Thus, there are a lot of ways through which a person can be benefited from this scheme of remortgage; therefore, it is advised to connect with a Mortgage broker in UK or other financial experts who have access to several deals available in the market.
