There are many benefits of buying a home under the Help2Buy scheme rather than renting one. Here are just some of the reasons:
1. It's cheaper to pay mortgage repayments than to pay rent.
2. You own your home so decide when to move.
3. It's yours to decorate or furnished how you like.
4. It's an excellent way of saving as when the property increases in value, the mortgage is decreasing at the same time. The difference is your equity (savings).
5. The money you pay is going towards your own home and not someone else.
6. Even after the 5 years interest free period, when you will need to start also paying back the government equity loan, your mortgage repayments will more likely still be lower than rental payments as landlords tend to increase rental payments year on year by an average of 5%.
7. You can fix the rate of your mortgage repayments compared to annual increases in rental payments.
For more information on Help to Buy scheme click here