Equity loan (on for sale)
When it comes to affording your new home, sometimes you need an extra helping hand. Our Equity Loans can give you the extra capital to make up the difference between the most you can borrow on a traditional mortgage and the extra you need to buy the home you want.
Available on all of our for sale properties, an Equity Loan could give you 30% of the purchase price to help bridge that gap.
The loan is completely interest free for the first 10 years*, and lasts up to 25 years, or the duration of your mortgage, whichever is the shortest.
What’s more, we offer two years’ FREE mortgage protection with every Equity Loan scheme, and floorings, lights and window fittings are included.
And when you sell, you simply return the percentage you borrowed from us at the current sale price. Dependent on the market, this could be a higher or lower amount than the original sum you borrowed.
Everyone looking to buy their own home is eligible to apply for the Equity Loan scheme, however the following restrictions apply;
- While on the Equity Loan scheme you cannot sub-let the property.
- You cannot re-mortgage the property without permission from Places for People. The loan must be re-paid before equity for home improvements or any other purpose can be released.
*After 10 years you would pay interest of 2% above the Bank of England base rate on the original loan value.
