Why buy with Help to Buy?

Published: September 2018

Established for over 150 years, Pitmans Law provides legal advice to address our clients’ needs across a wide range of industry sectors and specialisms including a particularly strong real estate team. Our expertise ranges from residential conveyancing to commercial and residential property development. Our clients draw confidence from the top tier recognition Pitmans achieves in the industry benchmarking directories, Legal 500 and Chambers UK.

So why do Pitmans Law think you should buy with Help to Buy?

Sometimes, it just comes down to personal preference when choosing to buy a new build or an older property – it depends on whether you prefer a little historical character or the polished look of a new property. However, it’s worth considering that there are many benefits to purchasing a brand new home; below are just a few reasons why.

1. Help To Buy Scheme

One of the main benefits of purchasing a new build home is that you will have the option to use the government Help to Buy Scheme. This is 5 year interest-free loan which is a great way to enable first time buyers to get on the property ladder or enable you to purchase a larger/more expensive property.

The scheme provides an equity loan of up to 20% of the purchase price on new build properties up to the value of £600,000. Should you wish to purchase a new build property in London a 40% equity loan is available.

For many, this is the best (or only!) way to own a brand new home.

2. New Build Warranty

Unlike older properties, new build properties have the benefit of a new build warranty. This is usually a 10 year Structural Warranty which can be claimed against if you have any issues with your property. This warranty can also be passed on to your purchaser if you sell your property within 10 years.

Not only does this give you peace of mind while living in your new home that you’re covered for any structural issues, but this can make your home easier to sell if you move on within 10 years.

3. Search Insurance

Search insurance may be offered in place of searches on your new build property. It can be significantly cheaper than full searches, although full searches will provide you with detailed and comprehensive information from search providers.

4. Exchange Deadline

When buying from a developer, it’s likely that they will require a 28 day exchange deadline. A good conveyancer will aim towards getting you exchanged as quickly as possible, so you can have the keys and move in to your new place before you know it.

5. Incentives

The developer may offer you incentives when you reserve a property with them. This may include carpets, flooring, appliances and sometimes even stamp duty costs!

Once you’ve decided to purchase a new build property, it’s essential to use a specialist Help to Buy conveyancer to guide you through the process from start to finish. Getting proper guidance will alleviate the stress factor during the purchase so you can focus on creating your dream home.

If you have any further queries on purchasing a new home or to consult the expertise of our team of specialist conveyancers, please contact us at newbuild@pitmans.com or 0238 083 7716.

Pitman’s Law will be at our Hampshire Help to Buy Show.