Applications for the government’s revamped Help to Buy Equity Loan scheme are set to open on 16 December 2020.
The scheme will run from April 20211 to 2023, and applies to new build only, enabling first-time buyers (FTBs) to borrow up to 20% (or 40%) in London the cost of a new build, paying a minimum of a 5% deposit.
The scheme only applies to first-time buyers, and the government have also added regional caps showing the maximum price a FTB can purchase a property for. These are:
- North East of England – £186,100
- North West of England – £224,400
- Yorkshire and the Humber – £228,100
- East Midlands – £261,900
- West Midlands – £255,600
- East of England – £407,400
- London – £600,000
- South East of England – £437,600
- South West of England – £349,000
Will German, Director of Help to Buy at Homes England, says:
“Help to Buy has already helped more than 270,000 people into home ownership and 82 per cent are first-time buyers. The new Help to Buy builds on this success, with first time buyers in front of mind.
“We’re pleased we can help homebuyers with smaller deposits to own a home, at a time where there are fewer options open to them. Housing, like most sectors, has experienced a slowdown during the Covid-crisis. But Help to Buy continues to give homebuilders the confidence to keep on building at a more crucial time than ever.”
