Forces Help To Buy scheme helps around 30,000 military families onto property ladder
Around 30,000 servicemen and women have made use of a Government scheme to help first-time buyers get onto the property ladder.
Since launching the Forces Help to Buy scheme (FHTB) 10 years ago, the Ministry of Defence says it has paid out more than £450m for military personnel to purchase their own home or make adaptations to their current property.
More than 5,000 members of the Armed Forces are expected to take advantage of the scheme this year, which would be the highest annual figure since it launched in 2014.
The FHTB scheme provides interest-free loans of up to 50% of an individual's annual salary, with a maximum limit of £25,000.
Defence Secretary Grant Shapps said: "Getting onto the housing ladder is an aspiration for so many people across the country.
"Through Forces Help to Buy we've been able to make that dream a reality for thousands of service families.
"These incredible men and women sacrifice so much in service of their country and I'm proud we've helped over 30,000 of them take the life-changing step onto the housing ladder over the past decade.
"I look forward to supporting many more in the years to come."
The scheme is open to regular or full-time personnel and the loans can be used towards the deposit, legal fees, and other costs associated with buying a property.
Staff Sergeant Sean Hanlon said: "After renting locally we wanted to put down roots to allow my partner Nicola to concentrate on her own career. Forces Help to Buy provided the financial aid and support we needed to ensure we had the home we desired.
"The best part about having our house is it's ours. Having somewhere for Nicola and our dog Reggie knowing they are settled and happy is important for a good work-life balance."
The scheme started as a pilot and was made permanent at the beginning of 2023 as a commitment in the Defence Accommodation Strategy.
How to apply for the Forces Help To Buy loan
Service personnel are to apply for Forces Help to Buy (FHTB) on JPA through the Self-Service Application for FHTB.
Full instructions can be found online under the tab JPA Self Service User Guide – 'Applying for Pre-Approval for FHTB'.
How much do I have to pay back?
It will all depend on how much is borrowed. But the loan amount is divided over 10 years and you pay back that amount monthly and can choose to make overpayments.
You can opt to start making the loan repayments straight away, six months after receiving it, or in your final 10 years of service.
Can I leave the Armed Forces after receiving an FHTB advance?
Yes – but you are expected to have paid back any outstanding FHTB balance in full prior to your Engagement Expiry Date.
Line managers and Unit HR will discuss repayment options with you as part of the termination process, but a proposal to continue repaying the FHTB after your discharge will not be accepted.
When is the Forces Help To Buy Scheme ending?
On the 19 December 2022 the Government announced FHTB will now be made permanent.
What are the Forces Help To Buy scheme interest and insurance costs?
Great news, you will pay 0% interest on the loan. However, you will pay a small amount of insurance each month to protect the loan.
Insurance cost will work out at around £6-£7 each month depending on how much you borrow.
What is the Forces Help To Buy scheme address?
Defence Business Services Military Personnel, FHTB Section, Centurion Building, Grange Road Gosport, Hants, PO13 9XA.
Does the FHTB property have to be a new-build home?
No, unless you are also using the Government loan too.
What is the Forces Help To Buy scheme contact number?
You can be put through to the FHTB section if you contact the JPAC enquiry centre on: 0141 224 3600 Choose option four.
For full Forces Help To Buy scheme terms and conditions, check out Joint Service Publication (JSP) 464
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