Help to Buy is designed to offer assistance to those on the property ladder in a formal method of government help. The scheme has been particularly useful amid the COVID-19 crisis, offering a helping hand to those who need it most. While the government took steps to extend the scheme back in July due to the impacts of the pandemic, it is now unlikely the scheme will be lengthened again.
The government minister for housing, Christopher Pincher, recently stated there were no plans to extend the scheme at present.
As such, Britons may need to act fast if they wish to benefit from the measure as it currently stands.
Mr Pincher was responding to a written question which asked about the Help to Buy scheme and whether it would be extended.
Some have suggested the scheme should be extended due to property completions which were delayed as a result of the COVID-19 pandemic.
“The legal completion deadline for the purchase remains March 31, 2021.
“Meanwhile, the government’s new Help to Buy scheme, which will replace the current scheme and is for first time buyers only, will commence on April 1, 2021 and run until March 2023.
“There are no plans for further extensions.”
Mr Pincher explained the government had also announced a protective measure for customers who had experienced delay.
For those who had a reservation in place before June 30, Homes England will look to provide an extension where required.
In this case, then, they will have until May 31, 2021 to legally complete on their property.
The property market has been put under strain due to a surge in demand in recent months.
After all but temporarily closing in the first phase of lockdown, many Britons rushed to make home purchases later on.
Indeed, the Chancellor Rishi Sunak’s announcement of the Stamp Duty holiday has also meant demand is high.
Some have suggested the scheme should be extended also, in order to avoid disappointment from those hoping to benefit.
However, there will be further support for those with a mortgage, after the Financial Conduct Authority (FCA) unveiled its proposals.
The watchdog has proposed those who have not yet had a holiday will be eligible for two payment deferrals of up to six months in total.
Those who have taken one payment holiday could be entitled to another lasting three months.
And individuals who have resumed their payments after an initial payment holiday could also receive another payment deferral of up to three months.
Under these proposals, borrowers will have until January 31, 2021 to request such a measure.