Over 27,000 households have bought a home through one of the Help to Buy schemes, Housing Minister Kris Hopkins announced today (30 April 2014).
New figures published today reveal over 24,500 households have bought new build homes through the Help to Buy: equity loan and Help to Buy: NewBuy schemes. There have also been over 2,500 sales through Help to Buy: mortgage guarantee.
Help for buyers and builders
Mr Hopkins said today’s figures were clear evidence that Help to Buy is creating a new generation of homeowners and supporting the construction industry, which is building more homes in response to growing demand.
Over 87% of completed sales under the equity loan, and 82% under the mortgage guarantee, have gone to first time buyers, while the average price of a home was £185,000 under the equity loan and £148,000 under the mortgage guarantee: far below the national average.
The latest statistics show starts on new homes in 2013 were at a 6-year high and climbing, with starts on homes for private sale up 29% since the launch of Help to Buy: equity loan, compared to the same period the year before.
Progress across the country
Sales of new build homes have been strong across the country:
- for the equity loan the highest number of completed sales were in Leeds with 337, Wiltshire with 316 and Central Bedfordshire with 287
- Milton Keynes, Peterborough, Bradford, Manchester, Country Durham, Bedford, Birmingham, Aylesbury Vale, Kingston upon Hull and South Gloucestershire have all achieved over 200 sales
- for Help to Buy: NewBuy the highest number of sales were in County Durham with 110, Gateshead with 84 and Basingstoke and Deane with 83
Kris Hopkins said:
Thousands of people have now achieved their dream of becoming homeowners through Help to Buy. Hard working families are getting the homes they want, while housebuilding is at its highest level since 2007 and climbing.
It’s clear evidence our long-term economic plan is working. But there is still more to do, and we will continue to prioritise resources to improve the housing market.
19,394 sales have been completed in the first 12 months of the Help to Buy: equity loan scheme (to 31 March). The median price of a property bought under the scheme was £184,995, with a median equity loan of £36,999.
2,572 sales have been completed under Help to Buy: mortgage guarantee scheme (between 8 October 2013 and 31 January 2014). The mean price of a property bought under the scheme was £148,048.
5,173 sales have been completed under Help to Buy: NewBuy (between March 2012 and 31 March 2014).
The vast majority of sales under Help to Buy were made by first time buyers: 87.5% under equity loan and 82% under the mortgage guarantee.