Help to Buy – Wales: frequently asked questions

 The Scheme is only available for  purchases of new-build homes through a developer registered with us. 

The Scheme is not available on purchase of houses sold on a leasehold basis. Although, purchases of flats sold on a leasehold basis may still be possible.

Your  property must be your only residence until you have repaid the Equity Mortgage. You may still be able to rent out a room in your home, as long as you also continue to reside at the property.

Subletting is considered in exceptional circumstances and limited to 12 months. To understand more about this please review the Post Completions Guide or contact our team on the details provided below. 

Not without first gaining permission. Consent is only given for significant home improvements in exceptional circumstances. We  will consider your personal situation, for example if modifications are required for a disability. Please review the Post Completions Guide or contact our team.

Yes, but you need permission to change your mortgage provider (re-mortgage). Please ensure your new lender is a participating lender with the Scheme (listed on our website) and knows that your home is a property part-funded by the Scheme. Please contact us to make us aware of your plans and request an application form.

Additional borrowing is not permitted unless you are partially repaying the Equity Mortgage and the additional borrowing is limited to the redemption amount. 

Only in certain circumstances. If you increase your mortgage because you want to repay your shared Equity Mortgage loan, in part or in full then this will usually be approved. However, increases for other reasons will  need to be considered by us.

Change of ownership can be considered in certain circumstances and is subject to an affordability assessment.  We may consider an incoming or exiting party, providing one of the original applicants remains. To understand more about this, please review the Post Completions Guide or contact our team.

It is your responsibility to repair and maintain your home.

The Welsh Government’s standard rules and procedures for Land Transaction Tax apply to the Scheme. This is payable at the time of purchase and is based on the full purchase price of the home.

The Scheme’s fees and interest do not classify as rent. Therefore, they do not qualify for housing benefit. You should make sure you have arrangements in place to cover the Scheme’s payments if your income changes. You should seek independent financial advice about this before purchasing a home through the Scheme. If you are already part of the Scheme and your financial circumstances change, you must contact us immediately.

If you bought your home on your own and you die, it will be managed through your estate under the terms of your will (if you have made one). The balance owed upon death will be made from your estate in accordance with the scheme. 

If you bought your home with somebody else, and one of you dies, the deceased person's interest in the property will either be transferred to the surviving co-owner(s) or will pass under the terms of their will. If there is no will, it will be passed according to the law. It is recommended that you seek independent legal advice about what will happen to the assets that form part of your estate (including your property) in the event of your death.

The monthly management fee, currently £1, is paid via a monthly Direct Debit. We  will collect your fees and interest in this same way. We will contact you at least one month before your interest fees are due. You will receive a statement each year confirming when your fees are payable. It is a requirement of your Equity Mortgage that we hold an active Direct Debit on your account, therefore if you change banking providers or your bank account we must be notified immediately to ensure no payments are missed.

Yes, you are able to reserve a new home off plan at any time. However, you cannot exchange contracts in excess of six months before the legal completion of the property sale. You must ensure that your mortgage offer is valid until you reach legal completion.

No, the Scheme cannot be used in conjunction with any part exchange scheme.

Homes purchased through the Scheme are generally on new developments. Your moving in date may depend on the time required to complete construction work, which will vary from scheme to scheme. Some applicants may need to wait for a longer period of time for a home that matches very specific needs, whereas others may buy from a development that allows earlier occupation.

Once you have committed to buy a home the house builder will have agreed to build the home and keep you informed of progress. If you are unhappy about any delays in construction, you must speak to the house builder. Your solicitor or conveyancer will be able to advise on the house builder's contractual responsibilities before you agree to the sale.