Since the scheme started in April 2014, hundreds of forces families have benefited from this scheme and with the last confirmed year of this pilot fast approaching, Forces Family Finance want to share with you some more top tips that we have learnt along the way whilst helping our clients.
We are always asked, what bit do I do first? We would always suggest that you have an initial chat with a whole of market mortgage broker first, to check your affordability and get an agreement in principle, this can save you a lot of disappointment or hassle later down the line. Once you have done this and found a house, you can apply for Forces Help to Buy and a full mortgage. This is because both are dependent on the property you hope to buy.
This initial stage will have you running around like a headless chicken getting signatures from the med centre, chain of command, gathering bank statements, quotes for solicitors etc. It can be pretty overwhelming (and stressful if the serving member is due to go away or in between important work tasks). A military specialist mortgage broker who understands the scheme and your lifestyle, will be able to prepare you as best as possible for this part and take away as much of this burden as possible.
5 TOP TIPS
- You cannot use this scheme to buy a property to rent in the first instance, applications to rent at a later point, will be considered on their own merit, if your personal situation changes.
- If the property that you propose to buy is within 50 miles of a current posting/drafting you will lose you entitlement to SFA. This is worth considering if movement within these criteria is likely to come up in the near future and you need more flexibility on your living arrangements.
- In case you weren’t aware there are exceptions to non-first-time buyers which works in a similar way to a betterment move. If you can validate that your current property is not suitable/adequate for your families’ needs, then an application would be considered.
- You must be clear in your mind the source of any other deposit, if you have one that is from your own savings or a gift from parents for example. This will need to be declared correctly and can cause delays if you have not prepared this information correctly. Your mortgage broker and solicitor can help you with this.
- Forces Help to Buy is not always the most suitable choice for some, there are a wide range of affordable housing schemes on offer in addition to standard ones. The amount that different lenders will offer you will also vary considerably. A whole of market mortgage broker and military expert will be able to help you weigh up the options and find out what suits your circumstances the best.
If you would like to see how Forces Family Finance could help you with purchasing your home, or if you are simply in need of some help and guidance, then please get in touch, email us customerservices@forcesfamilyfinance.co.uk or give us a call on 0330 3322 614.
For more information about the scheme please refer to the link below
https://www.gov.uk/guidance/forces-help-to-buy
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE
