Asked by: Roger Williams (Liberal Democrat - Brecon and Radnorshire)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, if he will extend the Help to Buy Scheme to housing built with local affordable conditions attached.
Answered by Andrea Leadsom
The Help to Buy: mortgage guarantee scheme offers lenders the option to purchase a guarantee on mortgages where the borrower has a deposit of between 5 per cent and 20 per cent of the value of the property. A mortgage supported by the mortgage guarantee scheme works in exactly the same way as any other mortgage, but has to comply with the requirements set out in the scheme rules. In particular, the scheme rules exclude the use of the mortgage guarantee alongside other government schemes or shared ownership schemes.
The Help to Buy: equity loan scheme is managed by the Department for Communities and Local Government and is available to all those who aspire to own a new build home, but struggle to access or afford the repayments on a low deposit mortgage. The scheme is open to first time buyers and to those looking to move up the housing ladder.
Whilst the Government keeps all schemes, including Help to Buy, under review, the Government currently has no plans to extend the Help to Buy scheme.
Further information about both parts of the Help to Buy scheme can be found at: http://www.helptobuy.org.uk/home.