Help to Buy Explained

                            Help to Buy Explained

  PR Newswire

  LONDON, November 13, 2013

LONDON, November 13, 2013 /PRNewswire/ --

Have you always wanted to own your home but felt that you couldn't afford the
cost of the deposit?

There are thousands of people all over the UK who can afford to repay a
mortgage, yet have been unable buy a home because of the challenge of saving
for a large deposit. But thanks to the Government's Help to Buy: mortgage
guarantee scheme, that could be about to change.

Officially launched on 8 October by the Prime Minister, NatWest are proud to
be the first UK bank to offer Help to Buy mortgages - products available to
first time, or next time buyers who can afford to repay a mortgage, but who
are struggling to save for a large deposit.

Some people may be confused at the idea of this scheme being 'brand new' as
the term 'Help to Buy' is already being used. So, to clear this up, there are
now two schemes; the first phase of Help to Buy was launched in April for
England and Wales, designed to help people with a 5% deposit to buy a new
property. Under phase one, a buyer would put down a 5% deposit and the
government would then give an interest free loan for 20% repayable over five
years. The buyer would then continue to pay the rest as a mortgage like
everyone else. Phase one of Help to Buy is still available and referred to by
NatWest as the NewBuy Scheme .

The new, or second phase, of Help to Buy means that the government is helping
people across the whole of the UK to buy any property, either new or existing.
This time they help by guaranteeing mortgage deposits of up to 15 per cent,
meaning that new buyers will only have to pay 5 per cent deposits on homes up
to the value of £600,000.

The scheme was initially going to be launched in January 2014 but has been
brought forward by three months and we are able to start lending straight
away.

This means you can call into your nearest branch today or give our mortgage
team a call on 0800 096 9527 to arrange a meeting with an adviser and take
those first exciting steps towards home ownership.

Our rates are also some of the most competitive on the market:

2 year fixed rate - 5% deposit with no product fee

  *4.99% fixed until 31/12/2015
  *4.0% variable thereafter
  *4.3% APR is the overall cost for comparison
  *Early repayment charges apply until 31/12/2015

5 year fixed rate - 5% deposit with no product fee

  *5.49% fixed until 31/12/2018
  *4.0% variable thereafter
  *4.8% APR is the overall cost for comparison
  *Early repayment charges apply until 31/12/2018

And, if you are looking to buy a home in the London area, make sure to check
out the London Borough Tool , which compares everything from house prices and
council tax to crime rates and travel costs across all the capital's boroughs.

Contact: Lisa Irvine, Retail Media Relations Manager, Royal Bank of Scotland
Group, lisa.irvine@rbs.co.uk, +44(0)1-31-626-6945
 
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