Originally brought forward to the country back in 2014, following on from the then successful Help to Buy Equity Loan Scheme, the government introduced a brand new scheme that would seek to reduce the low rate of forces home ownership across the UK.
This Forces Help to Buy Scheme is available to members of the Tri-Service, the Royal Navy, Royal Marines, Army and Royal Air Force, so long as they are able to meet the criteria for it.
Further to this, the Ministry of Defence’s Defence Accommodation Strategy is also taken into account with this scheme, as it aims to make sure that everyone under its watch has access to a good level of accommodation.
Outlined throughout this strategy, is the salubrious impact that home ownership can have to those who have inherently mobile careers. The incontrovertible positives include partner employability, stable education for children, as well as continuity for members of the services, as they move out active service.
Though it was previously intended to cease existing back in 2019, we have seen extensions for the Forces Help to Buy Scheme in Halifax, with the government eventually turning it into an enduring policy, allowing service members now and in the future to use it.
How does the Forces Help to Buy Scheme in Halifax work?
The way that the FHTB Scheme functions, is that service personnel have the ability to borrow up to 50% of their annual salary, which will be capped at £25,000 and does not have any interest charged on it. This can be used to purchase either a first home or a new one.
This scheme is accessible to all active personnel who have fulfilled the necessary service requirement, are not reservists or members of the Military Provost Guard Service, have over 6 months remaining in their service when they apply, and meet the appropriate medical categories.
Of course, there may well be individuals who are exceptions to the criteria, especially when factoring in things like special medical and personal state of affairs. To gain a better understanding of this and more relating to Forces Help to Buy in Halifax, please take a look at the government guidance website.
The area of FHTB that is most appealing to many people, is that you don’t need to have any current savings, in order to use this scheme and purchase a home. You can also use this towards your deposit, as well as any fees you are charged for, such as solicitors, estate agents & stamp duty fees.
The good news from a deposit standpoint too, is virtually all mortgage lenders will accept the funds from FHTB for your deposit. It is typically a much more relaxed scheme too.
Whereas the Help to Buy Equity Loan saw you being required to pay back your loan within 5 years, Forces Help to Buy in Halifax only needs to be paid back within 10.
How a Mortgage Advisor in Halifax May Be Able To Help
As a dedicated and trustworthy mortgage broker in Halifax, with a great love and admiration for our services in the UK, we are here to support and help you with the mortgage side of your home buying process, in any way that we are able to do so.
From the first time you contact a member of Halifaxmoneyman, all the way through until your mortgage completes and even beyond that point, your dedicated mortgage advisor in Halifax will look to make sure your process is as stress-free as possible, with all your needs taken care of.
For more, you are welcome to book yourself in for a free mortgage appointment and we will take a look at your case and best advise on the steps you need to take, whilst also finding you a great mortgage deal, if we can do so!
The Forces Help to Buy is not the same as the standard UK Help to Buy Scheme in Halifax or Shared Ownership Scheme in Halifax.
If you are a currently serving service member and homeowner looking to utilise Forces Help to Buy in Halifax aged 55+, it could be worthwhile looking at your options for equity release in Halifax or retirement interest-only mortgages (RIO Mortgages), as forces pensions may actually be beneficial for this.
To understand the features and risks of equity release in Halifax and lifetime mortgages, ask for a personalised illustration.
A lifetime mortgage may impact the value of your estate and it could affect your entitlement to current and future means-tested benefits. The loan plus accrued interest will be repayable upon death or moving into long-term care.
Date Last Edited: January 15, 2024
