Scottish price cap on Help to Buy scheme to be lowered

Wed, 15 Oct 2014

Scottish price cap on Help to Buy scheme to be lowered
The Help to Buy scheme ran out of funding very quickly in Scotland for the year 2014-15, and the same could well happen for 2015-16, so there will be a stricter cap on eligible house prices for next year.

In an attempt to make the scheme stretch further and help more people, the house value that will be allowed to be purchased through the scheme will be brought down from £400,000 to £250,000.

The Housing Minister, Margaret Burgess, had to defend the reduction. People with families who would have fallen between the £250,000 and the £400,000 feel they will be missing out on the scheme, despite the fact it was originally created to help first time buyers get onto the property ladder. The majority of first time buyers, it is argued, would not be looking at a property as expensive as £400,000.

Mrs Burgess said: "By targeting the scheme at properties at or below a value of £250,000, it will support first time buyers and people who otherwise wouldn't be able to afford to buy a new-build home. The changes will also see the benefits of Help to Buy extended for as long as possible."

This revelation also caused outrage because of the changes being made to tax when buying a property. In Scotland, Stamp Duty Land Tax will be replaced with a Land and Building Transactions Tax, which will effectively cost those buying a home above £325,000 more.

This double whammy for those in the £325,000 - £400,000 value bracket has caused a lot of resentment.

Despite this, many more people will be able to make use of the Help to Buy scheme before the budget runs out in the next year, and get many first time buyers into the property market.
add to favouritesnewsletterlink to this pagesend to friendpost comments

Link to this page

Copy and Paste the following HTML into your page.

Note: For a free no obligation chat with an independant mortgage specialist about your requirements please complete ourmortgage enquiry form below.

Mortgage, Remortgage or Buy-to-Let Mortgage Enquiry Form

Stop Press: Find the perfect mortgage!
Lending criteria has been relaxed and our specialists can find you great mortgage offers to compare.
Our team do all the work to find you the best offer
We'll help you find the best mortgage for your needs and ensure that everything runs as smoothly as possible.
Deposits required are again falling
The cost of the best deals has dropped recently for those borrowing either 80%, 85% or 90% of their property's value
Independent, searching the whole market
With 1000's of mortgage products available our mortgage brokers will source the mortgage that suits your situation.
Please complete this quick, free enquiry form.


Your Details

Home Buyer Guides

Home Buyer News

Speak with an independant mortgage specialist

About Company is part of the SFN Network of websites. Sitefinders Net Ltd is a U.K based company setup in 1995. Our core business is the development of online businesses using the generic domain name concept. We have a growing portfolio of websites in many different industries such as electronics, finance, retail, seasonal and health.

Privacy Policy

Get in Touch