The First Time Buyers Initiative was fundamentally a Shared Equity Loan based upon 50% of the value of the new build property. This loan was provided by the Government interest free for the first three years and then a percentage payable from a three to five year period.
It was possible to purchase additional shares in the property but this was based upon the market value of the property at that particular point in time. The valuation being carried out by an RICS registered valuer.
If the loan was to be re-paid by re-payment, re-mortgage or through sale then the full percentage of the shared equity was to be repaid on completion.
The valuation process for the First Time Buyers Initiative follows the same lines as a Help to Buy valuation and needs to be instructed accordingly.
