Page 34 - ESPC Magazine Oct 2020

MORTGAGE ADVICE BUYING ADVICE

THE FIRST HOME FUND EXPLAINED

The First Home Fund has proved so popular in recent months that the Scottish Government
has closed applications for this financial year, but plans to reopen it next year. Peter McGregor,
Independent Mortgage Adviser with ESPC Mortgages, explains how the scheme works.

The First Home Fund is a shared equity Government closed the scheme to new
scheme offered by the Scottish Government applications at the start of October for
to assist first time buyers in Scotland. The transactions due to complete this financial
scheme provides individual first time buyers or year. However, due to the popularity of the
couples (as long as at least one is a first time scheme, they plan to reopen it for applications
buyer) with a sum of up to £25,000 toward the in the new year for the 2021/22 financial year.
purchase price of a new home. The property
can be either a new build or an resale property. ESPC Mortgages is a team of expert
independent mortgage advisers – HOUSEHUNTING IN THE “NEW NORMAL”
There is no interest or rent element payable contact the team on 0131 253 2920 or
on the £25,000 contribution. Instead the fsenquiries@espc.com or visit Lyndsey Beckwith, Area Director of Property Sales at Gilson Gray, provides tips on how to
Scottish Government will own a percentage espc.com/mortgages to find out more. househunt in the “new normal”.
stake in the property based on the amount of
contribution compared to the value/purchase Over the past few months we have all had to maybe damp was mentioned but there could
price of the property (for example, if a £15,000 adapt to a “new normal” in many aspects of be a report showing that the damp has now
loan is offered for a property costing £100,000, life and the property market is no exception been rectified and is no longer a problem.
the Scottish Government would own a 15% to this.
share in the property).
You now must view a property virtually in the
With activity levels at an all-time high and first instance if possible. At Gilson Gray we will
This will need to be repaid when the property restrictions to control the numbers of people send you a video tour – we have had a lot of
is sold or before then if the homeowner’s we interact with, where do you begin with your positive feedback about how these videos give
financial situation allows for this. The amount house hunting when gone are the days of you a really good feel for the property.
to be repaid will be dependent on the open viewings?
future value of the property and will be the If you then decide you are keen to view in
percentage that was originally contributed Make use of the marketing material on offer person, you can make an appointment and
from the Scottish Government funds.
– at Gilson Gray we have always believed will be issued the guidelines which must
in having good quality photographs and a be followed to allow these viewings to take
The Scottish Government financial The information contained in this article is provided in good floorplan, and never more so than now. Study place. We have found viewings have been
contribution must be used toward the deposit faith. Whilst every care has been taken in the preparation of the these and imagine how your furniture would fit working really well and both sellers and buyers
on the property up to the valuation amount. information, no responsibility is accepted for any errors which, in and how you see yourself making a generally feel comfortable carrying these out.
despite our precautions, it may contain. No individual mortgage
Lenders would also need a contribution of 5% advice is given, nor intended to be given in this article. home there.
of the buyer’s own funds toward the deposit. Of course, the process is somewhat different
It should be noted that none of the funding The initial consultation with an adviser is free and without Download the Home Report and have a good from what we were used to. However, we are
can be used to bid over the valuation of the obligation. Thereafter, ESPC Mortgages charges for mortgage read through this. It is always tempting to just delighted to still be able to help people sell
advice are usually £350 (£295 for first time buyers). YOUR
property; this would need to be funded from HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP scroll to see the 1, 2, 3 grading and then the and buy all whilst ensuring the safety of our
the buyer’s own resources on top of their own UP REPAYMENTS ON A MORTGAGE OR OTHER LOANS valuation, but it really is worth reading the clients, viewers and employees.
5% deposit contribution. SECURED AGAINST IT. detail. Make sure you go right to the end of
the document as here you can often find a Find out more about Gilson Gray at
ESPC (UK) Ltd is an Appointed Representative of Lyncombe
Due to the high number of applications Consultants Ltd which is authorised and regulated by the specialist report which can provide more detail gilsongray.co.uk, or contact the team on
received in the summer months, the Scottish Financial Conduct Authority. to something flagged up earlier. For example, 0131 516 5354.

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