Thousands of UK residents have been able to buy their own home through support from the government’s ‘Help to Buy’ initiative, and the more are set to benefit under the new Help to Buy ISA scheme. The team at the Experience Invest blog investigates.
Help to Buy
Since the scheme was launched in 2013, more than 130,000 people have been helped onto the housing ladder. The vast majority of those who have been helped are first time buyers – in fact 80% of all completions under the scheme have been from this group.
Earlier this month the Government announced a new ISA – to help those looking to buy a home save money into a Help to Buy: ISA. The government will boost these savings by 25%. For every £200 saved, under the scheme, participants will receive a government bonus of £50, up to a maximum of £3,000 – for more details visit the Help to Buy website here.
According to Property Week, the majority of sales have been outside of London – and for properties priced at well below the national average. In fact, most mortgages provided under the scheme have been for property sales in the North West of the country.
Good news for the property market
Help to Buy was introduced as part of the UK government’s strategy to provide economic security for working people in the UK. Commenting on the scheme, the Chancellor of the Exchequer, George Osborne said: “This government is committed to helping people achieve the aspiration of buying their own home, and our Help to Buy schemes have now helped 130,000 across the UK do just that.”
The scheme is also helping to drive demand for new homes, and therefore initiate supply. Home Builders Federation executive chairman Stewart Baseley says: “The Help to Buy: Equity Loan scheme continues to drive demand for new build homes. It is no coincidence that since Help to Buy has unlocked demand for new homes and allowed buyers to buy the supply of new homes has increased by almost 40%. The industry is now providing more desperately needed high quality homes and creating tens of thousands of jobs across the country.”
About Experience Invest
Experience Invest is a London-based independent property company specialising in residential investments, student property and care home investments. The company works with clients across the UK and internationally, and is regularly featured in the property news – see The Telegraph, on Yahoo Finance, and by Reuters for examples of recent articles.
Experience Invest recently announced the launch of One Wolstenholme Square, a brand new residential development in the heart of Liverpool.