In this guide
1. Overview
Homebuy - Wales supports households by providing an equity loan to assist purchasing an existing property.
The scheme helps people who could not otherwise afford to buy a property and is particularly of benefit in more rural communities where there may be few opportunities to buy a home.
Homebuy is not available in all areas and where it is available the scheme will be subject to local eligibility criteria.
How it works
With Homebuy – Wales:
- you will normally need to contribute 70% of the purchase price of a home through a mortgage and/or personal savings
- you will need to arrange a mortgage from an approved lender
- you will need to make the agreed payments to your mortgage lender, there are no monthly payments to the housing association
- you must repay the equity loan when you sell the home at the equivalent percentage value of your home at the time you sell it
- you can repay the loan before you sell you home in which case you will repay based on the value of your home at that time
| Value of home | Your contribution (70%) | Equity loan (30%) | |
|---|---|---|---|
| Purchase value | £200,000 | £140,000 | £60,000 |
| Value of home | Your share (70%) | Equity loan to be repaid (30%) | |
|---|---|---|---|
| 2% increase in value at sale | £204,000 | £142,800 | £61,200 |
| 2% decrease in value at sale | £196,000 | £137,200 | £58,800 |
Not sure if this is for you?
Use our scheme finder to find out which other home ownership schemes you may be eligible for.