Following Government statistics published today on the Help to Buy Scheme, Aldermore has releasing figures showing that 63% of Help to Buy mortgage applicants live in the North West, Yorkshire & North East and South West.
Of the 4,467 decisions in principle cases that have been offered by Aldermore, 70% of applicants are first time buyers, while 53% of applicants are earning less than £40,000 in total and 26% of applicants are earning less than £30,000.
73% of cases are for purchase prices of between £40,000 & £180,000.
In terms of age, 70% of applicants are between 21 and 35-years-old. While 44% of applicants live in the north of England, the top three cities where applicants are resident are Birmingham, Manchester and Bristol.
Charles Haresnape, Aldermore Bank’s residential mortgages managing director, said: “Today’s statistics from the Treasury, coupled with new figures from Aldermore, suggest that Help to Buy is helping those consumers who most need help to get on the housing ladder. This shows that the scheme is proving successful and fulfilling its original aims of helping first time buyers, those on low incomes and those outside of London and the South East.
“There has been much rhetoric on the scheme in recent weeks and the dangers of causing a housing bubble, but Help to Buy remains a small proportion of total sales in the housing market and has no real impact in London, which is seeing higher inflation. Lender affordability measures remain paramount and will naturally limit mortgage sizes, so we should see the pace of house price rises in London reduce somewhat.”