More than 6,000 applications have been received through the Help to Buy indemnity scheme since its launch in October, Prime Minister David Cameron has announced.
November figures showed that 2,000 applications were made in the first month of the scheme and the number has more than trebled since then.
Upon approval of outstanding applications, almost £1bn in new lending will have been advanced with 750 Help to Buy purchases already completed.
The average house purchase is valued at £160,000 and has monthly repayments of about £900. Typical Help to Buy mortgages represent 23 per cent of borrowers’ gross income.
Cameron said: “We introduced the Help to Buy scheme so that hard-working people with sufficient earnings can get on and enjoy the security of owning their own home.”
Out of the 6,000 applications for Help to Buy 2, Halifax has received more than 3,500 full applications since 11 October.
John Charcol senior technical manager Ray Boulger says: “The scheme is achieving what it set out to do in that it has stimulated the market for 95 per cent mortgages – and not only with lenders taking up the indemnity guarantee.
“Of course, for consumers, the availability of high-LTV mortgages has been a big help so I would say the first three months appear to have been a success.”