By James Evans, Director, TouchPoint Mortgages.
If you bought your home using the Help to Buy scheme, repaying Help to Buy will likely become an important financial decision — especially as you approach the end of the initial 5-year interest-free period.
Understanding how repaying Help to Buy works, when to do it, and your available options could save you thousands over time.
In this guide, we break everything down clearly so you can make an informed decision.
When you took out a Help to Buy equity loan, the government effectively purchased a percentage of your home.
This means repaying Help to Buy is directly linked to your property’s current value — not what you originally paid.
Technically, you can begin repaying Help to Buy at any time.
However, most homeowners start seriously considering it when:
Once you reach year 6, interest charges begin — making repaying Help to Buy more time-sensitive.
A key point many homeowners misunderstand is this:
You repay the same percentage, not the amount you borrowed.
Example:
Repaying Help to Buy would cost: 20% of £250,000 = £50,000
So if your property has increased in value, the cost of repaying Help to Buy increases too.
Yes — this is known as “staircasing.”
Partial repaying Help to Buy can be a smart strategy if you’re not ready to clear the full balance in one go.
For the first 5 years, there’s no interest on your loan.
From year 6:
This is why many homeowners explore repaying Help to Buy before or shortly after this point — to avoid rising costs.
Repaying Help to Buy involves a few key steps:
1. Property Valuation
You’ll need a RICS-certified valuation to confirm your home’s current value.
2. Legal Work
A solicitor or conveyancer will manage the legal process.
3. Funding the Repayment
You can repay using:
For full guidance, you can also refer to the official government process here: https://www.gov.uk/government/publications/repay-your-help-to-buy-equity-loan
One of the most common ways of repaying Help to Buy is through a remortgage.
By doing this, you can:
If you’re considering this route, you can learn more about your options here: https://touchpointmortgages.co.uk/remortgages/
Deciding when to start repaying Help to Buy depends on your personal circumstances.
It may be a good time if:
However, you may want to wait if:
Repaying Help to Buy is a significant financial step — and timing is crucial.
Because the amount you repay is linked to your property’s value, delaying could cost more if prices continue to rise. However, rushing into a decision without reviewing your mortgage options could also be costly.
That’s why it’s important to explore all your options before proceeding.
At TouchPoint Mortgages, we specialise in helping homeowners navigate repaying Help to Buy and finding the most cost-effective solution.
Whether you’re considering a remortgage or just want to understand your options, we’re here to help.
Get in touch today for tailored advice.
Send your message and we will be in touch, alternatively you can book an appointment to chat to one of our team.
