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Help To Buy Injection Incoming?

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Guest BillyNI

http://www.bbc.co.uk/news/uk-england-36424548

Would-be-homeowners in large parts of England are being priced out of a government scheme to help first-time buyers, a BBC investigation has found.

The Help to Buy Individual Savings Account (HTB Isa) was introduced last year to help people save for a home.

In many areas, the average price of a starter home exceeds the maximum purchase cap of £250,000, or £450,000 in London.

The government said the cap allowed them to focus on first-time buyers.

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http://www.bbc.co.uk/news/uk-england-36424548

Would-be-homeowners in large parts of England are being priced out of by a government scheme to help first-time buyers the rich, a BBC investigation has found.

The Help to Buy Individual Savings Account (HTB Isa) was introduced last year to help people save for a home.

In many areas, the average price of a starter home exceeds the maximum purchase cap of £250,000, or £450,000 in London.

The government said the cap allowed them to focus on first-time buyers.

Fixed for the #VileBBC

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From the BBC article:

Speaking to BBC South East Today in Shoreham-by-Sea, West Sussex, Mr Osborne said: "We want it to be available for people getting on the housing ladder rather than [for] more expensive homes.

"The scheme goes from strength to strength and we can always look to improve it."

So probably, then... Can't wait to be assisted by these 'improvements'.

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This has been my argument all along. The take up of HTB has been modest because there aren't enough qualifying applicants.

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Part II of the scheme (the 20% loan) is due to finish at the end of this year IIRC? Extending it would be a very GO type move and the precedent has already been set in London. Odds on I reckon.

The first phase of the four stage FLS wind down kicks in next month, so he could extend that too while he's at it...

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"The cap on purchase prices for a Help to Buy Isa should encourage house builders to develop smaller homes, a property expert says.


Richard Donnell, research and insight director from Hometrack, said: "In order to appeal to a wider group of buyers, builders need to start building smaller houses to offer at the lower price point to help first time buyers get on the housing ladder."


The scheme has pushed prices up so now people have to pay more money for less house!


How are growing families going to be able to sell when they need a larger home, if existing home sales only have the mortgage guarantee (for bankers) not the equity loan like on new builds? Who can afford to pay the full price when a new build becomes an existing home without 20% of the price ignored? The new build losers thread could be overflowing, without the equity loan being added to existing houses?

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How to maintain a ponzi pie:

1 Put up prices of pie slice

2 Reduce size of pie slice

3 Blame the young for not having enough money to buy pie

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How to maintain a ponzi pie:

1 Put up prices of pie slice

2 Reduce size of pie slice

3 Blame the young for not having enough money to buy pie

It's always been a struggle to buy pie. I remember when as a 19 year old junior accounts clerk in the 1970s my wife and I had to save with the same building society for 6 whole months before we could buy our first pie, a luxury black forest gateau. For the first year we ate pie off paper plates because we couldn't afford to buy china. Now young people in their mid 30s have to save for fifteen years to put together the deposit on 25% of a week old McDonalds apple pie, the problem is they expect too much and buy too many iPods.

Edited by Dorkins

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Yes smaller houses is whats needed because flats with kitchen's as part of the living room is just not small enough FFS

I remember the days when such a "property" was called a bedsit.......now it's a studio. I viewed one the other day for £170K in Berkshire.....My father paid £5K in 1960 for a 4-bed house in the same village. He borrowed the £500 deposit from a relative and my mother thought he was being reckless. Ah those were the days.

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How to maintain a ponzi pie:

1 Put up prices of pie slice

2 Reduce size of pie slice

3 Blame the young for not having enough money to buy pie

4 Put up the price of ovens and don't let anyone bake their own pie.

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If it does continue, I think they can improve it by renaming it 'Help to increase the level of debt you face so that you can compete in the unaffordable mess of a housing market caused by Buy to Let and investment buyers'.

Slightly less catchy, but slightly more honest.

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The local rag in Cambridge ran an article demanding Cambridge FTBs get the same HTB debt allowances as London buyers, presumably as HTB has worked so well in making London housing affordable.

I saw that, didn't they say that only 7 people had taken up HTB in Cambridge? perhaps Cambridge residents are smarter than average :)

Edited by Snagger

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I saw that, didn't they say that only 7 people had taken up HTB in Cambridge? perhaps Cambridge residents are smarter than average :)

More likely that £250,000 gets you nothing there.

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More likely that £250,000 gets you nothing there.

in the City that's true, but HTB is being marketed for the new builds in Trumpington where you might get a 1 bed flat for £250K :(

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4 Put up the price of ovens and don't let anyone bake their own pie.

5 Over regulate/ban baking of new pie. Punitive pie transaction taxes. Unregulated/sleazy pie salesman on every high-street.

Edited by whitemice

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You forgot shared ownership of pie where you regurgitate half of it for someone else to eat and you both pay for the privilege.

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