Housing affordability is a big concern in many countries, including UK. One of the biggest problems is that, due to house prices being very high, mortgages are conspicuous. Many people cannot obtain a mortgage with current market prices, and therefore are excluded from the housing market. In other words, many consumers face tight borrowing constraints on the mortgage market.

In 2013, the British government launched a program called Help to Buy. This program would provide a subsidy or part of the initial deposit required to obtain a mortgage. The objective was to reduce the constraints faced by UK buyers on the credit market, therefore reducing the affordability problem in UK.

What do you think the consequences of this program have been? Research on how this program works. Use the analysis of the credit markets to think about how it may affect the credit market and the housing market.