First Homes Fund: Information for Lenders and Independent Financial Advisers

Remortgages

As there is no set deadline by which purchasers must repay the equity contribution to the Scottish Government, shared equity agreements run for as long as, or longer, than the primary mortgage. The equity contribution need not be taken into account when assessing mortgage affordability under the Mortgage Markets Review 2014 guidance. This also applies to remortgages in Scotland, resulting in there being no payment event regardless of the term of the remortgage.