Can the Help to Buy scheme really help me to buy?

I was also quite excited about this measure when it was announced in the Budget, but I don’t think I’ll be able to use it. I’d be quite happy to buy a new-build home, but any new builds in my area are very expensive indeed. The mortgage repayments would be rather scary!

I was listening to the budget announcements and had the same thoughts – help to get people on the housing ladder would be really welcome. But I’m also disappointed that one of the schemes only applies to new build properties.

I know some people prefer new builds, as they can move straight in without having to worry about things like replacing old boilers or doing any home improvements, but the fact is that most new build properties I’ve seen (I’m in London, so it might be different elsewhere in the country) are incredibly small. They usually come with a tiny kitchen/lounge (billed as ‘open plan’ rather than the ‘space-saving’ measure it actually is), and are often just small box-rooms with no character.

I was lucky enough to be one of the last people to get on the OwnHome scheme years ago. It was a genuinely fantastic scheme to get people on the housing ladder – providing similar measures to the first option mentioned in the budget (i.e. a loan that acts as a deposit, which is paid off at a nominal interest rate or when you sell the house). The crucial thing with it, though, was that you could use it to buy older properties too, meaning that I could actually afford to take up the offer rather than pay an inflated price for a new build property that was much smaller than any of the older places I could have moved into. Although I’m sure there were reasons why funding for this scheme was dropped, it was so popular and helped so many people that I would love to see it brought back.

Whilst help for would be buyers is to be welcomed I too have reservations about this scheme.

It should be limited to first time buyers. As it stands it’s a way for would be second home buyers or perhaps even buy to let types to cash in.

It should be limited to less than half the £600k level I understand it’s been set at. Not many first time buyers qualifying for that kind of property, even in London.

It should not be limited to new builds. Although new builds are good on energy efficiency they tend to be small, postage stamp gardens and as a result built to very high density levels. That’s ok for some but a scheme like this will, through greater demand, promote higher prices compared to existing properties, and they just aren’t worth it.

I see no reason whatsoever why the hard pressed UK tax payer should fund people to buy houses. Certainly not anything like the £600k level proposed. I could not even ever dream of thinking about a dwelling of that cost, it is rediculous. This is a charter for get rich quick oppertunists to make money, it will do little to help the homeless.