We recently pulled out of a Help to Buy sale with Bloor homes and decided to go for a new developer. This new developer had yet to be accepted on the scheme but assures us that he will. We were hoping to move in in August and this was a condition of our offer which was accepted by the developer. The mortgage has been agreed in principal but we won't get an August completion because the developer is still awaiting the finalisation of the scheme. The developer is worried about losing the sale and has suggested we live in the house rent free for three months/until he can access the Help to Buy scheme and sell the house to us.

Today, however, the developer called to say that there may be a problem in that if we rent the house (for free) and live there it may break the Help to Buy rules (I've not been able to find any!). I assume it may be because if the house is rented out it can no longer count as a new build.

Any advice? Anyone know the scheme?