Interest is high for the Help-to-Buy Scheme

February 10, 2016

Help-to-Buy is the scheme whereby first or next time buyers can purchase a new-build property,  maximum purchase price for elegible properties is at £600.000.

Buyers will be  contributing a 5% deposit from their own funds  while receiving a 40% interest-free government loan for five years, allowing them to take out a mortgage of 55% loan-to-value.

According to Greg Clark, Secretary of State for Communities and Local Government,  in the scheme’s first week 15,000 people registered their interest.

New Homes Director at Mortgage Advice Bureau, Andy Frankish reportedly said:  “The scheme has incredibly generous terms so it is no shock that it is generating a lot of interest.

“It may well be that people are just curious to see what they can get and how much it will cost them.

“If the enquiries do proceed to mortgage finance, homebuyers can only choose from new properties”.

Frankish reportedly said he didn’t expect to see the majority of purchase completions begin to materialise until the end of year as many of the properties people would be looking at would still be under construction.

 

 

 

Allen Walkey

Highly experienced businessman with a successful career in property sales and investment both in the UK and abroad. Now a freelance writer and blogger for the property and Investment Industry, keeping readers up-to-date with changes and events in a rapidly changing world.

You May Also Enjoy

Estate Agent Talk

Essential Car Tips for Estate Agents Spending Long Days on the Road

As an estate agent in the UK, you are likely to spend extended periods of time on the road, travelling between properties and meeting clients in various locations. Considering the magnitude of your driving responsibilities, following a few vital car tips can considerably make your job easier and safer, whilst also saving you money in…
Read More →
Kerb appeal
Breaking NewsEstate Agent Talk

Response to Latest Halifax House Price Index

Halifax house price data shows property prices have risen by 0.7% month on month, here are some thoughts from the industry.   Nathan Emerson, CEO of Propertymark: “As we embed ourselves into 2025, confidence is being echoed within the housing market, as house prices and mortgage lending remain buoyant. “With the Bank of England announcing…
Read More →
Breaking News

Halifax House Price Index – January 2025

House prices in January 2025 were 3.0% higher than the same month a year earlier. The housing market kicks off 2025 with price rise to hit new record high • House prices increased by +0.7% in January following dip of -0.2% in December • Average property price of £299,138 is a new record high •…
Read More →
Breaking News

Landlords Respond to Government’s Energy Efficiency Plans

Responding to the publication of the Government’s consultation on the energy efficiency of privately rented housing, Ben Beadle, Chief Executive of the National Residential Landlords Association, said: “We all want to see rented homes as energy efficient as possible, but that will require a realistic plan to achieve this. “The chronic shortage of tradespeople to…
Read More →
bank of england interest rate
Breaking News

Comment on the Bank of England’s Decision to Lower Interest Rates

Following the Bank of England’s announcement that it is reducing interest rates by 25 basis points from 4.75% to 4.5% here are some thoughts from the industry. Nathan Emerson, CEO of Propertymark: “Despite widespread uncertainty and the Bank of England expecting inflation rates to increase to 2.8% by the third quarter of 2025 before easing again,…
Read More →
Breaking News

Breaking Property News 06/02/25

Daily bite-sized proptech and property news in partnership with Proptech-X.   Bank of England cuts base rate by 0.25% Gareth Samples, CEO of The Property Franchise Group,  comments: “Today’s decision to cut the rate will be welcomed news for both mortgaged homeowners, as well as mortgage-dependent buyers who are looking to get their foot on the…
Read More →