Government launches Help to Buy scheme

posted 08.10.2013

Today marks that launch of the Governments second phase of the Help to Buy scheme, worth an estimated £12bn.

The launch comes three months ahead of originally planned as a method to stimulate house building by encouraging thousands to buy a home of their own.

A number of high street lenders will be offering the Help to Buy mortgages including Virgin Money, NatWest, Bank of Scotland, RBS and Halifax.

Help to Buy mortgages will offer up to 95% mortgages greatly reducing the level of deposits which have been required to purchase homes in the UK. For instance when purchasing a £250,000 home buyers will need to save just £12,500 as opposed to the £50,000 required for a 20% deposit.

The Help to Buy mortgage can be borrowed on homes worth up to a maximum value of £600,000.

The first phase of the scheme has already helped over 15,000 people to buy and it is hoped that this next phase will continue to assist people onto the housing ladder. The Prime Minister believes that this new wave of potential buyers will spark confidence and resurgence in the house building sector.

Recipro sourced this article from the Construction Enquirer

Category: industry, Mike Close