Remortgage to Pay Off Help to Buy

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Written by Harvey Sandhu, specialist mortgage adviser with over 40 years of experience. Berks & Bucks Finance . Updated 2026.

Can I remortgage to pay off my Help to Buy equity loan?

Yes — remortgaging to pay off Help to Buy is one of the most common ways to clear a Help to Buy equity loan. In most cases the remortgage and the loan repayment happen as a single transaction: the new mortgage covers both your existing balance and the government’s share, and the equity loan is cleared on completion.

The part that catches people out is the repayment amount. You do not repay what you borrowed — you repay a percentage of what your home is worth today. Understanding how that figure is calculated, and how the process is sequenced, is what makes this manageable rather than stressful.

Who this guide is for

You have a Help to Buy equity loan and want to pay it off through a remortgage
Your fixed rate is ending, and you want to clear the equity loan at the same time
You are approaching year six of the scheme and want to act before interest charges begin
You want to understand how the repayment amount is calculated and what the process involves

This is probably not what you need if:

We can review your position, calculate your options, and plan the process with you.

No obligation. No jargon. I’ll tell you early if something isn’t possible

How is the Help to Buy repayment amount calculated?

You do not repay a fixed amount. You repay the same percentage of your property’s current market value that the government originally lent you. This is the detail that catches most people off guard.

The government lent you a percentage of the original purchase price — typically 20%, or 40% in London. When you repay, that same percentage is applied to what the property is worth today. If the property has gone up in value, the government shares in that increase.

How the repayment amount changes with property value

Original purchase price: £250,000

Help to Buy equity loan: 20% = £50,000

Property value in 2026: £310,000

Repayment amount: 20% of £310,000 = £62,000

Illustrative only. Your repayment amount is based on the RICS valuation of your property at the time of redemption. If the property has fallen in value, the repayment amount would be lower than the original loan.

This means the longer you wait to repay, the more you may owe if property values have risen. Many homeowners choose to repay before values rise further.

What happens to the equity loan from year six?

For the first five years, the Help to Buy equity loan is interest-free. From year six, a monthly management fee applies. This fee does not reduce your equity loan balance — it is a service charge on top of your mortgage payment.

The management fee starts at 1.75% per year of the original equity loan amount. It increases every April in line with the Retail Price Index plus one percentage point. It is charged monthly and added to your outgoings alongside your mortgage payment.

Most borrowers from the 2018–2021 period are in year six or beyond in 2026. If you are already paying the management fee, the financial case for clearing the equity loan is compelling. You are paying a charge that does not reduce what you owe — while the balance itself continues to track your property value.

Acting before year six:

If your equity loan has not yet reached year six, clearing it before the management fee begins can save a meaningful amount. This is one of the most common reasons clients contact us about a Help to Buy remortgage.

Why do the remortgage and the repayment usually happen at the same time?

Most lenders will not remortgage a property that still has a Help to Buy equity loan registered against it. The government holds a second charge on your property. Many lenders require this to be cleared before they will accept a remortgage application.

For most people, the remortgage to pay off Help to Buy is one transaction, not two. The new mortgage is large enough to cover both the outstanding mortgage balance and the Help to Buy repayment. On completion, the new lender pays off the existing mortgage and the solicitor uses the remaining funds to redeem the equity loan with Lenvi.

There are some lenders who will remortgage with the equity loan still in place. But the choice is narrower and the rate is rarely as competitive. For most clients, clearing the equity loan as part of the remortgage is the right approach.

Can I pay off part of the equity loan rather than all of it?

Yes. This is called ‘Staircasing’. You can repay a minimum of 10% of your property’s current market value at a time, without remortgaging the full balance. Each partial repayment reduces the percentage the government holds in your property.

‘Staircasing’ requires the same RICS valuation as a full redemption. The minimum payment is 10% of the current market value — not 10% of the original loan. If your property is worth £310,000, the minimum partial repayment is £31,000.

‘Staircasing’ can be funded from savings rather than a remortgage, which makes it useful for clients who want to reduce the government’s share over time without taking on additional mortgage borrowing. Each partial repayment also reduces the management fee charged from year six, as that fee is calculated on the remaining equity loan balance.

What is the Help to Buy RICS valuation and why is it different?

Before Lenvi can calculate your repayment amount, your property must be independently valued by a RICS-qualified surveyor. This is a formal, scheme-specific valuation — it is not the same as a standard mortgage valuation and cannot be substituted by one.

The valuation must be:

Carried out by a RICS-qualified surveyor on Lenvi’s approved panel
Independent of both the lender and the borrower
Submitted to Lenvi in the correct format with all required documentation

A standard mortgage valuation, which the new lender will also carry out, is for the lender’s benefit and cannot be used to calculate the Help to Buy repayment. These are two separate valuations for two separate purposes. Both are needed.

The RICS valuation typically costs between £300 and £600 depending on the property and location. It is valid for three months from the date it is carried out. If your remortgage or redemption does not complete within that window, you will need a new valuation at your own cost.

Three-month window

Do not commission the RICS valuation until the remortgage process is genuinely moving. If you instruct a valuation too early and the mortgage or Lenvi processing takes longer than expected, the valuation will expire before completion and you will have to pay for another. Timing the valuation correctly is one of the most practical things we manage for clients going through this process.

How long does the remortgage to pay off Help to Buy take?

The Help to Buy equity loan scheme in England is administered by Lenvi on behalf of Homes England. Lenvi took over from Target HCA in June 2023. They issue the Redemption Letter, process your application, and manage the release of the government’s charge on your property at completion.

In straightforward cases, Lenvi aim to process redemption applications within four weeks. In practice, processing times can be significantly longer. Lenvi has faced documented challenges with call volumes and case backlogs, and there are a substantial number of formal complaints and Financial Ombudsman cases on record relating to delays in their administration of the scheme.

The practical consequence for a client remortgaging to pay off Help to Buy is this. You have three timelines running simultaneously and all three must align:

The mortgage offer — typically valid for six months from issue
The RICS valuation — valid for three months from the date of the survey
Lenvi’s redemption processing — variable, and outside your control

Keeping the three timelines aligned

If Lenvi takes longer than expected, the RICS valuation may expire before redemption is complete. That means a second valuation — at your cost — and a reset of part of the timetable. The mortgage offer may also need to be extended, which is not always straightforward depending on the lender.

This is the area where experienced process management makes the most difference. Knowing when to commission the valuation, how to chase Lenvi effectively, and how to keep the mortgage offer alive while the administration moves at its own pace is what protects clients from delays becoming genuinely costly.

If you are experiencing delays with Lenvi

Lenvi can be contacted by email at customerservices@myhelptobuyloan.co.uk or by phone on 0300 123 4123. If your case is urgent — particularly if a completion date is at risk — email with your account number, postcode, and completion date and mark it as urgent. Your solicitor should also be in contact with them directly.

We manage the sequencing of Help to Buy remortgages regularly. Let us take the pressure off.

What does the Help to Buy remortgage involve

Once the equity loan has been factored in, the remortgage works in the same way as any other. The lender assesses your income, affordability, credit history, and the property value. The new mortgage must be large enough to cover both your existing balance and the Help to Buy repayment.

How the new mortgage is calculated

Current mortgage balance: £180,000

Help to Buy repayment required: £62,000

New mortgage needed: £242,000

Property value (RICS valuation): £310,000

LTV: £242,000 ÷ £310,000 = 78%

The new mortgage covers both the existing balance and the equity loan repayment in one transaction.

Illustrative only. Your figures will depend on your current balance, the RICS valuation figure, and lender criteria.

The LTV after clearing the equity loan is the key underwriting figure. Lenders assess affordability against the full new mortgage amount. If the LTV is above 75–90%, the choice of lender narrows. If it is below 75%, more competitive rates become available.

It is worth getting clarity on the likely remortgage position before the RICS valuation is commissioned. If the new mortgage size creates an LTV challenge, knowing that early gives you time to consider options — including whether partial staircasing makes sense before a full remortgage.

Next step — Remortgage Sense Check

If you’re reading this thinking, “I still can’t tell if switching is worth it”, that’s normal.

Most homeowners feel more confident when they take the time to carefully review all the details — such as fees, timing, and risks — before submitting any application. It makes the process feel much more manageable and clear.

When should I start the Help to Buy remortgage?

Start early. The Help to Buy remortgage process involves more moving parts than a standard remortgage, and each one has its own timeline. Starting six months before your fixed rate ends — or before year six of the equity loan begins — gives you the best chance of a clean outcome.

The sequence that works best:

Speak to an adviser first — before commissioning anything. Understand the likely remortgage position, the LTV, and whether your income supports the new mortgage size
Begin the mortgage application once the position is clear — this locks in a rate and starts the mortgage offer clock
Commission the RICS valuation once the mortgage is progressing and a realistic completion timeline is visible
Your solicitor manages the Lenvi redemption application alongside the remortgage legal work
On completion, the new lender pays off the existing mortgage and Lenvi receives the redemption funds — the government’s charge is removed from the title

The RICS valuation is the element most affected by timing. Commission it too early and it may expire. Commission it too late and completion is delayed while you wait for it. Getting that timing right is something we help manage with clients as a standard part of this process.

What are the most common mistakes people make with Help to Buy Remortgages?

Most problems in a Help to Buy remortgage come from underestimating how much they owe, starting the process too late, or commissioning the RICS valuation at the wrong point in the process.

The mistakes we see most often:

Assuming the repayment is the original loan amount — it is a percentage of today’s value, which is almost always higher
Not factoring the Help to Buy repayment into the new mortgage size early enough — the LTV impact can affect which lenders are available
Commissioning the RICS valuation too early and having it expire before Lenvi processes the redemption
Not leaving enough time for Lenvi’s administration — four weeks is their stated target, but the reality can be longer
Assuming the process is the same as a standard remortgage — the additional steps add time and require careful coordination

Ready to start planning your Help to Buy remortgage?

The process has more moving parts than a standard remortgage — but it is very manageable when it is planned properly and the sequencing is right. We handle remortgage to pay off Help to Buy cases regularly and understand how to keep the process moving even when Lenvi’s timelines are unpredictable.

We can work out your likely repayment amount, check the remortgage position, identify the right lender, and manage the timing of the RICS valuation and Lenvi redemption so everything lands together.

WHY CHOOSE US

Let’s talk about your mortgage needs

You don’t need all the answers yet. We can talk through your situation, your plans, and what’s realistically possible before making any decisions.

How much will I have to repay on my Help to Buy loan?

You repay the same percentage of your property’s current market value that the government originally lent you. If you received a 20% equity loan, you repay 20% of what the property is worth now — not 20% of what you originally paid. The repayment amount is based on the RICS valuation carried out as part of the process.

When does Help to Buy interest start?

The equity loan is interest-free for the first five years. From year six, a monthly management fee applies. This starts at 1.75% per year of the original equity loan amount and increases every April in line with RPI plus one percentage point. The fee does not reduce your equity loan balance — it is a service charge in addition to your mortgage payment.

Do I need two valuations — one for the lender and one for Lenvi?

Yes. The RICS valuation for Lenvi is a separate, scheme-specific valuation required to calculate your repayment amount. It cannot be substituted by the lender’s mortgage valuation, which is carried out for the lender’s purpose. Both valuations are needed, and both are typically required as part of the same transaction.

How long does the Help to Buy redemption process take?

Lenvi aim to process redemption applications within four weeks. In practice, timelines can be longer. The RICS valuation is valid for three months. If Lenvi’s processing extends beyond that window, a new valuation will be required. Starting the process early and commissioning the valuation at the right point in the timeline is the most effective way to avoid this.

Can I pay off part of my Help to Buy loan rather than all of it?

Yes. This is called staircasing. You can repay a minimum of 10% of your property’s current market value at a time. Each partial repayment requires a RICS valuation and an application to Lenvi. Staircasing can be funded from savings, which avoids the need for additional mortgage borrowing. Each partial repayment also reduces the management fee charged from year six.

Return to the Remortgage Guide

For a full overview of remortgaging options and other common situations, see the main Remortgage Hub.

All mortgage products are subject to lender criteria, status, and affordability. Rates and product availability are subject to change. This page is for information only and does not constitute mortgage advice. Berks & Bucks Finance is FCA-regulated. Your home may be repossessed if you do not keep up repayments on your mortgage.