Help to Buy has helped nearly 120,000 people achieve their aspiration of buying a new home since it was created, latest figures reveal.
Since the launch of the Help to Buy equity loan and mortgage guarantee schemes:
- 80% of scheme completions have been made by first-time buyers, with more expected when the government’s Help to Buy ISA launches in December
- average house price was £186,000, significantly below the national average
- over 110,000 people have bought a home through the scheme
- 95% of Help to Buy completions took place outside of London
- half of Help to Buy completions have been for new-build homes
Help to Buy was created in 2013 to ensure that working people who were doing the right thing and saving for a deposit could achieve their aspiration of buying their own home through government support. Home ownership is a key part of the government’s long term plan to provide economic security for working people across the UK.
Together with the government’s Help to Buy: NewBuy scheme – which offered 95% mortgages for those buying new-build properties – the number of new home owners has reached over 118,000.
The scheme also continues to benefit first-time buyers overwhelmingly, with the vast majority of sales outside of London and at prices well below the national average.
Help to Buy is also ensuring the long-term health of the housing market by increasing housing supply, stimulating home building. Half of the homes bought through Help to Buy are new-build properties, helping to contribute to the 36% rise in private house building since the launch of Help to Buy.
As today’s statistics show, Help to Buy is helping people who need it most, with over 90,000 households having bought their first home thanks to the scheme.
This is 80% of overall Help to Buy buyers, demonstrating that the scheme is successfully targeting those who need help getting on the housing ladder, despite only accounting for a small proportion of the mortgage market (3% for both mortgage guarantee and equity loan).
First time buyers will have a further boost from the Help to Buy ISA, which banks and building societies across the UK will offer from 1 December. Under this scheme, first time buyers can save up to £200 a month towards their first home and the government will boost their savings by 25%, or £50 for every £200, up to a £3,000 bonus. 6 major lenders have already signed up to offer Help to Buy: ISAs on 1 December. These lenders are: Barclays, Lloyds Bank, Nationwide, Natwest, Santander and Virgin Money.