More than 1,200 households have applied to the Scottish Government’s Help to Buy (Scotland) scheme, with over 200 already in new homes, since the scheme launched on 30 September 30, it has been announced.
‘There is no doubt that getting onto, or moving up the property ladder has become tougher in recent years, which is why our Help to Buy (Scotland) scheme is crucial in helping more households take that step,’ said deputy First Minister Nicola Sturgeon.
‘Large deposits are often a major barrier to would be home owners and it is fantastic to see the first results of our Help to Buy scheme, which has already helped almost 200 households into home ownership since it launched in September. It is not only helping people buy their first home, it also helps second steppers and others move to a new property and the popularity of the scheme is evident,’ she explained.
‘The scheme is also helping stimulate economic growth by supporting our housing industry alongside our commitment to investing in affordable housing across Scotland,’ she added.
The Scottish Government is providing help to eligible buyers of up to 20% of the purchase of a new build home from a participating house builder.
Today Sturgeon met with new home owners Phil and Joanne MacFarlane at Dawn Homes Group, Glasgow, who have used Help to Buy to buy a four bedroom home in Kilsyth, Glasgow.
‘We found out about the scheme through a friend who is also moving house using Help to Buy. We just moved in to our new home two weeks ago, Help to Buy allowed us to purchase our family home much sooner than we could ever have imagined,’ said Phil.
‘The process was very straightforward and hassle free, we would highly recommend this scheme to others. We feel blessed we have been given the opportunity to buy this home, which without the Help to Buy scheme, we would not have had, and hope to create many happy memories here as a family,’ he added.
Philip Hogg, chief executive of industry body Homes for Scotland, said the scheme is proving that it is possible for those buyers to realise their home owning aspirations without the difficulties caused by large deposit requirements.
‘This is demonstrated by recent statistics which indicate that over 1,000 applications have been received in just a few months since the scheme launched. It builds upon the success of the MI New Home 95% mortgage guarantee scheme, and represents another valuable tool offered by the new build sector to assist those looking to move onto and up the housing ladder. Indeed, it has already demonstrated its game changing impact since launch last September, acting as a positive indicator for industry recovery,’ he pointed out.
However, he added that there are still a number of barriers to recovery such as supply side issues which need to be addressed if output is to increase to the levels required to meet housing need.
‘We therefore look forward to working alongside the Scottish Government to address these issues and seeing the Help to Buy scheme grow further as it continues to stimulate the building of much needed new homes, supporting vital jobs, skills and apprenticeships as well as boosting the wider economy along the way,’ he said.
According to Martin Egan, managing director of Dawn Homes, the introduction of Help to Buy in Scotland, coupled with a growing sense of optimism in the housing market, has provided a significant upturn in new home sales activity.
‘This month alone, 10 of the 25 sales completions at Dawn Homes have been successfully delivered through the Help to Buy scheme. This represents 40% of our sales transactions and shows that this flagship policy is having the desired effect in stimulating the construction economy, as well as providing wider economic benefits,’ he added.
