Details released by the government show just how many have used Help to Buy to achieve home ownership…
Help to Buy has assisted over 150,000 homebuyers since its launch in 2013, according to recent government statistics. Figures show that the Mortgage Guarantee and Equity Loan initiatives have both been very popular with new homebuyers across the country, with 95% of purchases outside of London. New build homes made up more than 50% of Help to Buy purchases, with the average property price being approximately £188,380, significantly cheaper than the national average.
The government figures reflect just how much Help to Buy has become part of the present-day property market, especially for first-time buyers and new-home buyers. Another indication that the objective of helping people buy their first home is working is that no less than 118,000 first-time buyers have benefited from Help to Buy, 80% of the overall total. Around 250,000 first-time buyers have been further assisted by the launch of the Help to Buy ISA in December 2015. This can give a bonus of up to £3000 to savers who open up a Help to Buy ISA account.
Helping buyers across the country
Of the 95% of purchases made outside London, the north-west has seen the highest number of homes bought via Help to Buy: Mortgage Guarantee, yet Help to Buy: Equity Loan specifically for new homes, is especially popular in the south-east. An additional government initiative, London Help to Buy, which began in February this year, is also proving to be very popular. However, where house prices have risen most, such as London, the Mortgage Guarantee scheme is less prevalent. Only 1% of mortgage lending in the capital is through Mortgage Guarantee in comparison with 3% across the UK.