The Help to Buy scheme has helped over 320,000 people purchase their houses. In 2020-2021 we saw it help over 55,000 people.
The Help to Buy scheme was designed to support younger people with a deposit to a new home. The scheme allows them to have a deposit of just 5%.
The rise in the housing market has made the system less accessible as the housing price brackets for the scheme haven’t changed. Because of the increase in house prices, fewer properties people can access on the system, causing the number of people being supported to drop by 41%.
From October to December 2020, we saw 21,106 Help to Buys be completed. But in contrast, from October to December 2021, we saw 8,913 Help to Buy schemes be completed. These figures have a big difference.
There are two reasons we may have seen a decrease in the use of the Help to Buy scheme. The rise in house prices and the eligibility rules have gotten stricter, only allowing first-time house buyers to apply.