Understanding Help to Buy Loan.

The Help to Buy scheme has supported thousands of buyers across the UK in stepping onto the property ladder, particularly first-time buyers. But with ongoing changes in the housing market and government initiatives, there’s often confusion around what Help to Buy entails—and how property professionals like surveyors fit into the process.

In this guide, we explain the key points of Help to Buy, who’s eligible, and how a RICS Help to Buy valuation is crucial for homeowners looking to repay their loan or sell their property.

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What Is Help to Buy?

Help to Buy was a UK government-backed equity loan scheme introduced in 2013 to make new-build homes more accessible to buyers. The scheme allowed individuals to purchase a home with just a 5% deposit, with the government lending up to 20% of the property’s value (or up to 40% in London). Buyers would then take out a mortgage for the remaining amount.

How It Works:

• Available for new-build properties only

• Buyer must contribute at least a 5% deposit

• Government loan of up to 20% (or 40% in London)

• Interest-free loan for the first five years

• Scheme closed to new applications in March 2023

Help to Buy is now closed to new applicants, many homeowners still have equity loans they are repaying—or preparing to repay.

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What Happens After Help to Buy?

Once a homeowner is ready to repay the equity loan—either by remortgaging, selling the property, or paying it off in full—they will need a RICS Help to Buy valuation, and this is where we can help.

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What Is a Help to Buy Valuation?

This is a specific type of valuation and it must be carried out by a qualified RICS surveyor and comply with strict criteria:

• The valuation must be independent and unbiased

• The surveyor must be RICS-registered (MRICS if the loan was taken out after 2021)

• Comparable sales data should be included

• The report must be addressed to Target HCA

• The valuation is valid for 3 months
  

If the loan is being repaid or the property is being sold, this valuation determines how much the homeowner owes back to the government, as it’s based on the percentage borrowed on the current market value, not the original purchase price.

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Why Choose a REAL Surveying?

Help to Buy valuations aren’t the same as estate agent valuations or mortgage lender valuations. They must follow a formal, regulated process that ensures fairness and accuracy.

Choosing a RICS surveyor at Real Surveying  ensures:

• The valuation meets the necessary requirements

• You avoid delays or rejections due to incorrect reports

• You get a clear, professional document ready to submit within 48 hours

• We’re experienced in valuation and specifically help to buy valuations
  

Get in touch, we'd love to help.

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