Buying a home is difficult and for first-time buyers, the process can be particularly challenging. The size of deposit required for a first-time purchase is a barrier to many people, and prospective buyers have to meet strict criteria in order to be offered a mortgage. Therefore, schemes like the Help To Buy schemes which provide assistance for property buyers have been welcomed, but there is considerable debate as to whether Help To Buy is fit for purpose.
At Bond Oxborough Philips, we have helped many buyers and vendors in Ilfracombe and we look forward to assisting many more people in the years to come. We believe that there is a lot to debate about Help To Buy and whether it should be continued but this is not the first time the question whether Help To Buy is fit for purpose has been raised.
The BBC previously questioned the merits of Help To Buy
A study undertaken by the BBC in 2016 stated that the Help To Buy scheme was not fit for purpose. The basis for this finding was the fact that in many parts of the country, the average price of homes being bought by first-time buyers was greater than the maximum level where the Help To Buy scheme could assist. There is no denying that many first-time buyers in London haven’t benefited from the scheme due to high property prices, but there have been many people who have credited the scheme for getting onto the property ladder.
There have also been many critics who say that the scheme has inflated prices, therefore negating any benefit that has been provided to buyers.
However, in 2018, there are buyers who thank the scheme for its support and who are calling for the scheme to be extended beyond 2021 when it is currently due to conclude. According to official figures, from its launch in 2013 to March of 2018, the equity loan scheme element of the Help To Buy scheme has assisted 169,102 households to purchase property. While some of these people would have been able to afford a home through other methods, many people wouldn’t have been able to raise the funds required to purchase their first home.
Will Help To Buy be amended?
Speculation as of September 2018 suggests three possible options for the Help To Buy scheme:
It concludes after March 2021 The scheme could be extended for a further two years albeit with slight amendments and maybe even a change of name The scheme is tailored and is only made available to households on a lower income level
Eight out of 10 users of the scheme have been households buying their first property but there has also been support for people buying a larger home and people on larger income levels. More than 6,700 homes with an annual income of at least £100,000 have benefitted from Help To Buy. Therefore, there is a wide range of buyers who have benefitted from the scheme and this is likely to be the case in the future.
Whatever your property aims in Ilfracombe are, make sure you rely on Bond Oxborough Philips for support and assistance. We are local property specialists and we are keen to ensure you receive the backing you need, no matter what you look to do next.