Help to Buy Valuation in Mattishall

A Help to Buy valuation is a specific kind of RICS Red Book valuation, needed by homeowners who took an equity loan under the Help to Buy scheme. That scheme ran from 2013 to 2023, and it let buyers get a new build property with just a 5% deposit, while the government covered up to 20% in England, or 40% in London, through an equity loan. Once you repay, remortgage, or sell, the HCA asks for an independent valuation from a RICS registered valuer so the current market value can be set and the repayment worked out.

RICS rules set the tone for the valuation process, which relies on comparable evidence from nearby sales to establish market value. Our valuers inspect the property, look at recent sales of similar homes in Mattishall and the surrounding villages, and prepare a formal report that meets HCA requirements and, if you are remortgaging, mortgage lender criteria too. We measure each room, note condition, and take stock of any improvements made since the Help to Buy purchase.

Mattishall property prices have fallen by 14% over the last year, so some homeowners may find the floor mechanism works in their favour. A property bought at the 2022 peak of £369,889 may now be worth rather less, and our valuers will check carefully whether the current market value triggers that protection. For local Help to Buy homeowners who bought near the top of the market, that can mean a meaningful reduction in what they have to repay. We have seen several cases where the floor mechanism has cut the repayment amount sharply.

In the NR20 3 postcode area, which covers Mattishall and nearby villages including Welborne, Barford, and Intwood, house prices rose by 0.7% in the last year, although that becomes a -3.1% change once inflation is taken into account. Those local conditions matter when a valuation has to be accurate, and our valuers bring that area knowledge to each assessment. We check local sales data weekly and keep in touch with estate agents in the Breckland area so our valuations stay aligned with the market as it moves.

• Repayment of Help to Buy equity loan
• Remortgaging to a standard mortgage
• Selling your Help to Buy property
• Porting your mortgage to a new property

When you repay a Help to Buy equity loan, the amount is worked out using the current market value of the property and the percentage of equity loan you originally received. For instance, if you took a 20% equity loan and the property is now worth £323,260, the current Mattishall average, the repayment would be £64,652. If the value has dropped below the original purchase price plus any improvements, the "floor" mechanism may come into play and reduce the figure. That protection was built into Help to Buy so homeowners would not be stuck with properties worth less than they paid.

A 14% fall in Mattishall property prices over the past year means some homeowners may benefit from the floor mechanism. Homes bought at the 2022 peak of £369,889 may now be worth much less, and our valuers will examine whether the current market value activates the floor protection. For people in Mattishall who bought during the peak, that can be a significant saving. We have seen cases where the floor mechanism has saved homeowners tens of thousands of pounds compared with the original loan percentage calculation.

If you are remortgaging away from Help to Buy onto a standard mortgage, you will need enough equity to meet the lender's loan-to-value requirements. With average prices at £323,260 and typical Help to Buy loans accounting for 20% of the property value, you need to be sure your circumstances fit a standard mortgage approval. Our valuation report can be used by multiple mortgage lenders, which gives you flexibility when comparing the best mortgage rates. Before you go ahead, we recommend speaking to a mortgage broker who can check your eligibility.

Remember that if you sell a Help to Buy property, the HCA takes a percentage of the sale proceeds that matches their equity share, no matter whether the property has risen or fallen in value. Even so, the floor mechanism still applies, so you will never pay back more than you originally borrowed if the property has gone down in value. Our valuers can give you the official figure you need to work out exactly what will be left from the sale after the equity loan is repaid.