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Briefings

Member Briefing: Help to Buy

Date: 03/06/15

Help to Buy

The Government has today confirmed the extension of Help to Buy Equity Loan to 2020 and published new statistics for the Mortgage Guarantee scheme.

Help to Buy statistics

The Government has today released statistics for the Help to Buy Mortgage Guarantee scheme (HtB2) Please click here, to view statistics, which sit alongside comparable statistics for the Equity Loan scheme (HtB1) published at the end of April Please click here, to view statistics.

  • Between the launch of HtB2 in October 2013 and March 2015, 46,877 mortgages were completed with the support of the scheme;
  • In the first two years of HtB1 (from 1 April 2013 to 31 March 2015), 47,018 properties were bought under the scheme.

Help to Buy Equity Loan extension to 2020 confirmed

In the accompanying press release Please click here, to read more, the Chancellor confirmed the extension of HtB1 to 2020 and announced funding for 2016-17:

“That’s why I committed £6 billion to extend Help to Buy to at least 2020, giving developers certainty so they can plan for future Help to Buy housing schemes and continue to boost housing supply. Today I’ve confirmed the first annual allocation of nearly £1.5 billion, providing funding for Help to Buy equity loan for 2016/17.”

While the Chancellor’s confirmation of the extension is very welcome, HBF is awaiting clarification from the HCA of exactly what this means for house builders in terms of funding allocations for the current financial year’s HtB1 programme, and also reservations with physical/legal completion in 2016-17. As soon we hear from the HCA we will advise HBF members.

 

John Stewart

3 June 2015