The government has confirmed that the current Help to Buy scheme will be extended due to the COVID-19 pandemic.
The deadline for the completed construction of a home in order to comply with the equity loan scheme has been pushed back to 28 February 2021.
The government said the extension is to ensure customers do not miss out if there has been a delay in construction due to the pandemic.
Under the current Help to Buy scheme, new homes would need to have been completed by the end of December.
The deadline for the legal completion of the sale will remain as 31 March 2021.
The government is also announcing an extra measure to protect existing customers who have experienced severe delays because of the COVID-19 pandemic.
It has said Homes England will work with those who had a reservation in place before 30 June to assess their situation and provide an extension where necessary.
Meanwhile, the government’s new Help to Buy scheme, which will replace the current one, will run from 1 April 2021 till March 2023 as planned. There are no plans for further extensions.
The new scheme introduces property price caps and is restricted to first-time buyers only, with the aim of helping people get onto the ‘property ladder’.
Commenting on the extension, Housing Minister Rt Hon Christopher Pincher MP said: “This government is committed to helping a new generation to realise their dream of home ownership, and since 2010 we’ve helped more than 640,000 families into home ownership through our support including Help to Buy and Right to Buy.
“Today’s announcement will help provide certainty and assurance for Help to Buy customers whose new homes have been delayed due to coronavirus and affirms the government’s commitment to helping more people to own their own home.”