Nearly 260,000 people have been helped onto the housing ladder using one of the Government’s controversial Help to Buy schemes.
Help to Buy statistics released today revealed that over 259,000 completions have taken place using one or more of the Help to Buy schemes. The majority of these were first-time buyers.
There are three Help to Buy schemes. The Help to Buy: ISA, which is for first time buyers, provides the buyer with £50 for every £200 saved.
There’s the Help to Buy Equity Loan scheme offers buyers up to 20% of the cost of a new build home so they only need to provide a 5% deposit.
Finally, there’s the London Help to Buy scheme, which provides an equity loan of up to 40% for buyers in the capital with a 5% deposit.
The new stats also showed more than 215,000 first-time buyers are now on the housing ladder thanks to Help to Buy, and that the average house price across the schemes is £192,854 — below the national average of £220,000.
‘This Government is committed to helping working people get on the housing ladder,’ chancellor Philip Hammond said.
‘Our Help to Buy schemes are proving hugely popular across the country. More than a million people are now using them to help achieve home ownership, particularly first time buyers.’
Commenting on the figures, Gavin Barwell, housing and planning minister, said: ‘As our Housing White Paper sets out, we’re committed to helping more people find a home of their own with the support of a range of low-cost home ownership products
‘Our Help to Buy: Equity Loan scheme continues to make home ownership a reality for thousands of people, especially first time buyers right across the country.’
The Government’s focus on Help to Buy has been criticised by the homelessness charity Crisis.
‘The situation for the thousands who find themselves homeless in England is becoming more and more desperate each year,’ said Jon Sparkes, chief executive of Crisis.
‘Private renting is often the only choice homeless people have. That’s why Crisis is calling on the Government to invest in schemes that support people into the private rented sector, such as establishing and underwriting a national rent deposit guarantee.
‘The Government is already pouring billions into ‘Help to Buy’ support. What we really need is ‘Help to Rent’.’
