Help to Buy lives – for another month at least
Reported by Housing Today the government has agreed to extend the practical completion deadline for homes reserved under the Help to Buy scheme just days before the deadline was due to be passed. The decision potentially saves hundreds of delayed purchases from collapse, writes Zah Azeem, Partner at Wimbledon based Chartered Surveyors Scrivener Tibbatts.
Housing minister Lucy Frazer said in a letter to the Home Builders Federation that housebuilders will now have until 17 March to achieve practical completion of homes sold under Help to Buy, having previously said that they had until 31 January.
Help to Buy, under which purchasers of qualifying new-build homes are granted a 20% equity loan as a deposit to buy their house, is due to finally end on 31 March. All transactions will have to legally complete by that date.
In recent weeks we have been aware that an increasing number of developers and purchasers were concerned their transactions remained at risk even with the 31 January practical completion date and that many more transactions could be saved by extending the deadline further.
“After taking advice from my officials I am prepared to offer a further six weeks’ forbearance to 17 March with respect to the enforcement of the practical completion deadline to support the few remaining transactions over the line.”
Fancy that. A government minister listening to the advice of experts.
If you would like to discuss something related to a property valuation, please contact me direct via email at zah@scrivenertibbatts.co.uk or call 020 8947 7040.
