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The government schemes that could help you buy a home in 2022

Posted on March 31, 2022

Getting onto the property ladder is notoriously difficult. With the cost of living rising and the demand for properties higher than ever, the majority of first time buyers face an uphill struggle from the moment they begin to save for a house deposit to the time they spend searching for and securing a new home.

With the long list of government home buying initiatives on offer during 2022 and beyond however, getting the help you need to get onto or climb up the property ladder may be at hand. In this blog post, we provide a rundown of the government schemes that could help you buy a home in 2022.

The Mortgage Guarantee scheme

Securing a mortgage is another hurdle first time buyers and existing homeowners have to overcome during the property buying process. With 95% LTV mortgages pretty much non-existent these days, prospective buyers have to save hefty deposits to get the low interest rates and manageable mortgage repayments they want.

The Mortgage Guarantee scheme however levels this playing field, with first time buyers and existing homeowners with just 5% deposits able to secure 95% mortgages once again. By using the scheme, the government will underwrite 15% of the mortgage to increase lender confidence and allow you to secure the mortgage product you require.

The Help to Buy equity loan

Another government scheme that is opening up the market is the Help to Buy equity loan. Under the scheme, the government will lend you up to 20% of the property price via an equity loan. You then just need a 5% deposit to secure a 75% LTV mortgage product.

The shared ownership scheme

Shared ownership continues to be a popular way to get onto the property ladder. Using shared ownership, you buy a share of the property and pay rent on the rest.

The First Homes scheme

Only accessible to first time buyers across certain housing developments in England, the First Homes scheme allows you to purchase a property at a discounted rate of up to 30%. This discount isn’t however exclusive to you; once you sell the property, the discount is transferred to the new buyer.

There are many more government schemes available to make buying your first property, or your next, a little easier. Interested in buying or renting a home? Discover what’s on the market right here at Hackett Property.