And in a major boost to the regions, 95% of Help to Buy completions took place outside of London.

What’s the latest?

More than 150,000 people have bought a home through Help to Buy since it launched in 2013.

The government scheme has helped those on lower incomes, with the average property purchased through Help to Buy costing £188,380, significantly below the national average.

And it has been particularly effective outside London, where 95% of Help to Buy completions took place, according to the Government.

Why is this happening?

Help to Buy was launched in April 2013 to assist people struggling to purchase a home or move up the property ladder due to high house prices.

House for sale.

Who does it affect?

First-time buyers accounted for 80% of households who used Help to Buy to get on to the property ladder.

“We estimate the larger house builders have increased output by 50% since the trough with overall supply up by 37% in the last two years.”

This group received a further boost in December through the launch of the Help to Buy ISA, under which the Government contributes a bonus of up to £3,000 to people saving to buy a home. Around 250,000 people have already opened one of the accounts.

And aspiring homeowners in the regions have also benefited significantly from Help to Buy. The north west had the highest number of homes bought through the Mortgage Guarantee, while the Equity Loan was most popular in the south east.

Meanwhile, the Government launched London Help to Buy last month, enabling people in the capital to purchase a new-build home with a 5% deposit and a 40% government loan, to reflect higher house prices there.

Sounds interesting. What’s the background?

As well as helping people get on to and up the property ladder, Help to Buy aims to boost the number of new homes being built.

More than half of all properties bought through Help to Buy have been new-build homes, and the Government credits the scheme for contributing to the 14% rise in private house building since it was launched.

Stewart Baseley, executive chairman of the Home Builders Federation, said: “Help to Buy continues to help stimulate demand for new-build homes.

“As a result we have seen huge increases in house building activity and the supply of much needed new homes.

“We estimate the larger house builders have increased output by 50% since the trough with overall supply up by 37% in the last two years.”

Top 3 takeaways

  • More than 150,000 people have purchased a property through the Government’s Help to Buy scheme since its launch - 80% of which were first-time buyers.
  • The average home purchased through the scheme cost £188,380, significantly below the national average.
  • 95% of Help to Buy completions took place outside London.

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