The Minister for Climate Change announced in December 2022 that the Help to Buy, Wales shared equity loan scheme would continue until March 2025, with the purchase price cap rising from £250,000 to £300,000 from 1 April 2023 and all homes sold through the scheme required to meet a minimum of Energy Performance Certificate (EPC) B1. The scheme, which provides a shared equity loan to buyers of new-build homes, was introduced on 2 January 20141.
The price cap has moved twice since 2021. It was reduced from £300,000 to £250,000 on 1 April 2021, then raised back to £300,000 on 1 April 2023 alongside the EPC B requirement1.
| Date | Maximum purchase price |
|---|---|
| 2 January 2014 | £300,000 |
| 1 April 2021 | £250,000 |
| 1 April 2023 | £300,000 with a minimum of EPC B |
Source: GOV.WALES quality report2
The scheme provides a maximum equity loan of £60,000, or 20% of the purchase price1. After accounting for the purchaser deposit and the equity loan, the remaining balance must be financed through a mortgage not in excess of 4.5 times the applicant's household income1. The shared equity loan is interest-free for the first five years and must be repaid within 25 years3. Buyers must provide a minimum 5% deposit3.
In 2024-25, 603 properties were purchased using a Help to Buy, Wales shared equity loan, a 15% increase on the previous year, with the value of the equity loans at £30.4 million and the value of the properties purchased totalling £153.5 million1. The cumulative total since the scheme was introduced is 14,779 purchases, with cumulative equity loans of £594.3 million and properties purchased worth £3,007.4 million1. The mean purchase price in 2024-25 was £254,478 and the median was £260,000, both higher than in 2023-241. First-time buyers made up 85% of completed purchases (513), with the remaining 90 (15%) by former owner-occupiers1.
"In December 2022 the Minister for Climate Change announced the scheme in Wales would continue until March 2025 with all homes sold through the scheme needing to meet a minimum of Energy Performance Certificate (EPC) B and the purchase price cap rising from £250,000 to £300,000 from 1 April 2023."
Why it matters for households
The scheme is open to all home buyers, not only first-time buyers, who wish to purchase a new-build home but may be constrained, for example by deposit requirements2. The EPC B requirement means homes sold through the scheme from 1 April 2023 must meet that standard1. The £300,000 cap applies to properties bought through the scheme from that date1.
In 2024-25, 56% of completed purchases were in the £250,001 to £300,000 range, and a further 21% were in the £225,001 to £250,000 range1. Almost half of recipients (49%, or 294) provided the minimum 5% deposit; among first-time buyers the figure was 53% (273), and among non-first-time buyers 24% (21)1. Since the scheme began, 77% of completed purchases (11,340) have been by first-time buyers, and 64% of all recipients have provided the minimum 5% deposit1.
The scheme is administered by Help to Buy (Wales) Ltd on behalf of the Welsh Government2. More detail on eligibility and deposits is set out in the guides to Help to Buy, Wales and who can apply, with the deposit position covered in what deposit do I need. Buyers considering new-build homes in Wales can also read buying a home in Wales and mortgages in Wales.
What happens next
In December 2024 the decision was made to further extend the Help to Buy, Wales shared equity loan scheme to September 20261. The scheme had previously been extended to March 2025 in December 20221.
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