Government must act to help all first time buyers

THE Government must act now to put pressure on lenders to help all first time buyers get on the property ladder.

Speaking following the publication of the new housing strategy this week, Robin Lampon said the Government’s plans to support an indemnity scheme which would provide up to 95% loan-to-value mortgages for purchasers of newly built properties hadn’t gone far enough in tackling the immediate problem.

“This scheme is primarily aimed at first time buyers, yet only a fraction of purchasers in this sector choose to buy brand new homes, either because there is a shortage in their area and price range or, in other cases, because they believe an established property would better meet their requirements.

“What is really needed is for the Government to put pressure on lenders – especially those owned by the taxpayer – to start lending more widely in a reasonable and responsible manner on the full range of quality properties that are currently available.”

Posted on 23rd November, 2011