The government recently announced that they would be extending the Help-to-Buy scheme until March 2023. However, only first-time buyers purchasing a property worth up to 1.5 times the average regional cost of a first home are eligible. So what are the alternatives to the Help-to-Buy scheme?
One of the alternatives to the help to buy scheme is to buy with a friend or family member
One of the obvious alternatives to the help-to-buy scheme is to buy with friends and family. Friends and family are increasingly buying a property together and live with one another. This allows people to share the cost of buying a new home while still being able to take their first or next step on the property ladder.
Part-buy-part-rent schemes such as Home Reach allow buyers to purchase a 50-75% share of their home up front, while renting the remaining share until they can buy the entire 100%.
Parental help is another of the alternatives to the help to buy scheme
Parents often loan children some money from their own savings to help with the cost of a deposit. Although this loan will still need to be paid off over time, it allows their children to be able to move into their home sooner.
How long do I have to apply?
You can apply for Help to Buy right up until the March 2023 deadline; even if the completion date for your new property is beyond then. But if you’re planning on buying after this date you will need to consider the other options available to you.