The Help to Buy equity loan is an instant hit, with almost 7,000 reservations in the first 3 months, according to Housing Minister Mark Prisk.
Since its launch in this year’s Budget, thousands of prospective homebuyers have been seizing the opportunity to buy a new-build home with just a fraction of the normal deposit, and over 1,000 sales have already been completed.
Under the scheme buyers receive a 20% equity loan, interest free for 5 years, which helps them buy a new build property from a participating housebuilder with a value of up to a £600,000.
By extending support to existing homeowners as well as first time buyers, the scheme is helping to remove a bottleneck in the market where homeowners want to move, but may be struggling to raise a large enough deposit to purchase their next property.
Mr Prisk said the success of the Help to Buy equity loan was delivering a surge of business to housebuilders, and showed the huge appetite and pent up demand for homeownership among the public.
Housing Minister Mark Prisk said: "With almost 7,000 reservations in 3 months, it’s crystal clear that the Help to Buy equity loan has captured the public’s imagination and is getting Britain building again, which will help achieve a long-term, stable housing market."
So any credit-worthy buyer, whether a first-time buyer or someone looking to move up the property ladder, should contact their local Help to Buy agent and see if they could benefit from the scheme."
