More than 420,000 people have bought a home using one of the government’s Help to Buy schemes including more than 365,400 first-time buyers, according to latest government statistics.
The average price paid across the Help to Buy schemes is £172,448 – well below the UK average house price of £224,144 and of the average first-time buyer house price of £188,429.
First-time buyers in the scheme are typically aged 27 compared to aged 30 for other first-time buyers nationally. Four fifths (81%) of first-time buyers in 2017 used Help to Buy to purchase their property.
The highest proportion of property completions using Help to Buy schemes is in the North West, with more than 20,000 completions in the last quarter alone.
More than 1.2 million have opened Help to Buy Isa accounts so far, with the average bonus claimed hitting a record £800.
Meanwhile, more than 169,100 property purchases have taken place through the Help to Buy Equity Loan, which launched in April 2013. The results showed that most of the home purchases in the scheme were made by first-time buyers, accounting for 136,657 (81%) of total purchases. The scheme offers buyers up to 20% of a newly built home’s costs so they only need to provide a 5% deposit.
John Glen, economic secretary to the Treasury, comments: We’re helping a new generation of first-time buyers realise their dream of owning a home. Help to Buy continues to be hugely popular across the UK, with 420,000 people getting support so far. And with our stamp duty cuts and the lifetime Isa, we are delivering for first-time buyers.
Steve Seal, director of sales and marketing at Bluestone Mortgages, comments: “These latest statistics highlight the sheer number of borrowers relying on Help to Buy, accounting for 81% of total first-time buyer purchases in 2017. It is great to see the development of schemes designed to assist consumers who would otherwise struggle to access the property ladder.
“The market contains pockets of borrowers such as first-time buyers, who require extra support to reach their homeownership aspirations, particularly as the cost of living becomes ever more expensive. As an industry, it is essential that we ensure that provisions are in place to cater to a wide range of needs.”