Most first time buyers in Leeds are still using Help to Buy Equity loans to purchase new homes, new figures have shown.
As recent figures demonstrate loans under the scheme across the region remain at high levels, Barratt Homes says the scheme is still going strong at its St Oswald’s View development in Leeds, with almost a fifth of new homes being purchased through Help to Buy.
The figures reveal that the scheme is performing well in Leeds, with a total of 1,846 Help to Buy equity loans being taken out since its launch in April 2013. Eighty per cent of these equity loans are to first time buyers, highlighting use of the scheme in the region by those aiming to take their first step onto the property ladder.
The Help to Buy equity loan scheme allows a homebuyer to secure a new home up to the value of £600,000 with only a five per cent deposit and is set to continue until 2021.
The government lends the buyer 20 per cent of the value of the property in the form of an interest free equity loan for five years. This then means buyers can access some of the great deals available for a 75 per cent mortgage, making new homes much more affordable.
Stacey Berkeley, Sales Manager at St Oswald’s View, said: “It is great to see that the Help to Buy scheme is so successful. It is encouraging that so many first time buyers are able to get onto the property ladder through the Help to Buy equity loans, as well as those who have sold subject to contract, and we hope we continue to see more take advantage of this great scheme.”