You are here: Home - Mortgages - First Time Buyer - News -

Record number of homes bought via Help to Buy ISA scheme

0
Written by: Paloma Kubiak
28/09/2017
June saw a record number of bonuses paid out and property completions through the government’s flagship Help to Buy ISA scheme.

In June there were 10,899 bonuses paid out and 8,330 property completions were recorded, HM Revenue & Customs figures reveal.

In total, since the H2B ISA scheme was introduced in December 2015, more than 113,868 bonuses have been paid out, totalling £77m with an average value of £678. Plus 83,686 property completions have taken place. The scheme, aimed at first time buyers, gives a 25% government boost to savings of up to £12,000.

The figures also reveal that properties bought under the first-time buyer scheme are cheaper than the national average – £170,862 compared to £189,000.

Two thirds of the buyers are aged 25-34 and the median age is 27, again lower than the national average of 30.

The highest proportion of property completions were in the North West, Yorkshire, The Humber and West Midlands, while the lowest recorded in the North East and Northern Ireland.

June topped off the busiest quarter for the scheme so far, when 21,577 property sales were completed with the help of a Help to Buy ISA between April and June.

Sarah Coles, personal finance analyst at Hargreaves Lansdown, said: “As time goes on, and funds build up in these ISAs, we are seeing more and more people able to buy a home with the help of the scheme: June saw a record number of completions using funds from Help to Buy ISAs.

“However, if you’re really serious about owning a property of your own home, it’s worth being aware that the Help to Buy ISA isn’t the only show in town. The launch of the Lifetime ISA in April this year provides an alternative with a number of extra benefits. It means that if you’re going to improve your chances of getting onto the housing ladder more quickly, Help to Buy ISA savers should weigh up the advantages of a switch.

“The LISA allows you to save more and get a bigger bonus more quickly. It also offers more flexibility over how you save, what you invest in, and how you use the money: so unless you plan to buy your property within the next 12 months, a transfer for most makes a lot of sense.”

See YourMoney.com’s First-time buyer: Should I transfer my Help to Buy ISA to the Lifetime ISA? for more information.

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
2236241-old-hands
Registrations of Lasting Power of Attorneys rise

The number of Lasting Powers of Attorney received between April and June 2017, is up 30% on the same quarter...

Close