A new initiative has been announced that is designed to help more people on to the property ladder.

Rachel Maxwell, a partner and solicitor within the residential property and conveyancing team at law firm Smith Partnership, which has an office in Stoke-on-Trent.

Rachel has explained that "Your First Home" is a new equity loan scheme designed to help first time buyers buy a property with a much smaller deposit.

She said: "Under the scheme, eligible buyers can purchase a new build home with a 2.5 per cent deposit, supported by a 20 per cent government backed equity loan. The equity loan will include an initial interest free period.

"Further details including timelines and the eligibility criteria are yet to be released and are expected next month in the Autumn Budget."

In the meantime, these are steps that Rachel recommends taking if you are planning on buying a new build property under the scheme:

• Instruct a Conveyancer - "You will need a conveyancer to handle the legal formalities of the purchase and represent your mortgage lender. When more details are released, your conveyancer will be able to ensure the scheme conditions are met."
• Source of Funds - "Your conveyancer will need to verify the balance of monies you are putting into the purchase. Preparing the documentary evidence early on is a good idea."
• Speak to a mortgage advisor - "Under the scheme, you may still need a mortgage will still be required to fund the purchase price. Making contact with a mortgage broker in advance will help you understand what products might be available to you."
• Understand Stamp Duty Land Tax - "Stamp Duty Land Tax is a complex Tax and you are recommended to obtain advice from a specialist tax advisor. You may be able to claim First Time Buyer relief on the purchase if you are eligible."

First time buyers looking to get on the property ladder, can get in touch with Smith Partnership's specialist residential conveyancing solicitors.

To contact the team, call 0330 123 1229, complete the contact form or send an email via [email protected].

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