Andy Sommerville, Director at Search Acumen [1], comments on today’s DCLG Help to Buy (Equity Loan scheme) statistics: 1 April 2013 to 31 December 2016 [2]
“The latest data on the Help to Buy equity loan scheme shows that on the surface the Government have made a successful first step in easing up the housing market for first time buyers. Four in five purchasers under the scheme fall into this category and the clear majority of first time buyers are taking advantage of the deposit required of up to 5%.
“However, the underlying question of affordability still remains. The average price of £233,403 paid under the scheme jumps 6% above that paid on average for all properties in the UK in December 2016.* This reveals that although the scheme has gone some way to facilitating house buyers onto the ladder, the overarching purpose of bringing the value down still needs addressing. The industry must pull together to overturn our housing shortage and answer the cries of those struggling to make that first purchase.”