One of the most exciting pieces of news we have heard recently was the announcement a few weeks ago that the Forces Help to Buy scheme, which can help military families to buy their own home, has been extended for a further three years until the end of 2022.
The Forces Help to Buy scheme allows regular serving personnel to borrow an interest-free deposit of up to half their annual salary. The loan, which must be repaid over 10 years, is capped at £25,000. It can also be used to cover other costs including building an extension, moving home, and solicitors’ and estate agents’ fees.
Johnny Mercer, Minister for Defence People and Veterans, is quoted as saying: “The extension of the Forces Help to Buy Scheme is fantastic news for all those wanting to take that first step on to the property ladder.
“The scheme helps to provide stability for our Armed Forces personnel and families, as a thank you for their commitment to their Service for this country.”
Originally launched on 1 April 2014 as a three year pilot scheme, Forces Help to Buy scheme has since lent more than £280 million to more than 18,000 personnel.
The FHTB scheme is primarily designed for first-time buyers or those needing to move to another property, either because they are assigned elsewhere or as a result of certain extenuating family or medical circumstances.
Property for which FHTB has been claimed must be intended for the service person’s own immediate occupation, or that of their immediate family. An exception to this applies to those in overseas postings at the time of application and purchase.
If you’re looking to purchase a property, and you have any questions about using the scheme and arranging your mortgage, then please don’t hesitate to give us a call.
By using Moving Experience to advise and arrange your mortgage, remember that you will be helping others as well as yourself, because of the agreement that we have to support SAFA – The Armed Forces Charity. More details here: https://community-mortgage.co.uk/military/