The government scheme launched in 2013, and continues to grow in popularity with 13,836 completions to June 2017.
However, there is growing discontent on the ‘fat cat’ building bosses like those at Persimmon awarding themselves hundred million pound bonuses after soaring profits, driven in part by the government’s Help to Buy scheme.
Housing Minister, Dominic Raab, said: “This government is committed to helping more people get on the housing ladder, with the support of a range of low cost home ownership products.”
In total, over 140,000 completions involving 350,000 people have taken place through the Help to Buy Equity Loan scheme, which offers buyers up to 20% of a newly built home’s costs with borrowers finding a 5% deposit.
In a boon for FTBs, Philip Hammond announced the abolition of stamp duty on properties worth under £300,000 and up to £500,000 in high value areas in the November Autumn Budget.
The move looks set to cost £125m this year and total £3.2bn by the end of 2022/23.
Help to Buy: the figures
In England, the median equity loan was £41,000 for first-time buyers, £52,999 for non-first time buyers and £43,800 across all completions.
The property type most frequently sold under the scheme was semi-detached houses at 31% of total completions, followed by detached properties at 30%. Terraced properties and flats made up 24% and 16% of completions respectively.
The Help to Buy: Equity Loan scheme can be used to buy a new build property up to the value of £600,000, with a maximum equity loan of £120,000, or 20%. The London Help to Buy scheme provides an equity loan of up to 40% for buyers in the capital with a 5% deposit and aided 5,715 buyers across 33 boroughs between February 2016 and September 2017.
