There is no doubt that the initiative has had a positive impact in helping many first time buyers get on to the housing ladder but where do they go from there, what impact does it have further up the chain and how do we ensure home ownership is more possible for everyone?
As part of its latest UK Residential Market Survey, RICS asked respondents if the Help to Buy scheme was making it harder for second steppers to move because potential purchasers of their properties have a greater incentive to buy a new build home. The results were split, with 25% saying the scheme made it harder for second steppers and 26% saying it did not.
Help to Buy makes the dream of homeownership a reality for many that otherwise couldn’t afford it. However, at the same time we must focus on helping people to move up the ladder as without this movement the market would eventually grind to a halt.
This is where SME housebuilders can help, by building the right type of homes in the right locations for both for first time buyers and those further up the chain.
While we welcome initiatives such as Help to Buy, the Government must not rely on this alone to buoy up the housing market. We urgently need the Government to deliver on its pledge to reduce red tape and streamline the planning process for SME housebuilders, enabling them to build more much-needed homes, only by doing this can they help to make home ownership more possible for everyone.
Find out more about our Property Finance division.
Robert Grigg
Managing Director of Property Finance