18,000 sign up for H2B1

Sam Cordon

November 21, 2013

At the same time 2,000 households received offers through Help to Buy: Mortgage Guarantee in the first month alone.

Hopkins said the figures were the latest evidence that solid progress is being made across the housing market as a whole,

Andy Frankish, new homes director at Mortgage Advice Bureau, said the results were “hugely encouraging”.

He said: “To see phase one of Help to Buy successfully targeting first-time buyers, with many opting for properties priced well below the upper limit of the scheme.

“Today’s figures suggest the scheme is effectively oiling the wheels of the new build market and improving access to property without encouraging buyers to overstretch their budgets and take on commitments beyond their means.

“With more than nine in ten properties sold to first time buyers, it is also welcome news that significant proportion of new homes reservations have come outside London.

“The scheme is clearly working across the length and breadth of England. With rates as low as 2.34% on some products, its popularity is based on a simple recipe that includes an affordable mortgage and a government backed loan free from interest for the first five years.

“The government should be applauded for taking the initiative to rebuild confidence and capacity in the new homes market.”

Paul Smith, chief executive officer of haart, agreed with Frankish.

He said: “The latest figures for the take up of the first stage of Help to Buy are really encouraging especially for first-time buyers.

“The early introduction of Help to Buy’s second Guarantee phase at the start of October is proving to be a real fillip to the property market as it allows movement at all rungs of the property ladder, including both older and new homes.

“Coupled with continuing low interest rates and strong mortgage deals, sellers should pay heed and capitalise now on the very high levels of demand. Buyers are ready and waiting for properties so there is no better time to sell.”

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