Menu
13/03/2008
Budget Will Help First-Time Buyers
Thousands of first-time buyers and key workers could see their purchasing power boosted by up to 50% with new home loans announced in the Budget.
The Chancellor announced that from April this year two new equity loans will be available through the Government's shared equity scheme Open Market HomeBuy (OMHB). The loans allow buyers to shop around for the best mortgage deals and are simpler to arrange than previous OMHB products.
Until now OMHB loans could only be taken out in chunks of 32.5%, 25%, or for the Government only loan, an average of 17.5% of the property value. The loans were also restricted to just one specific mortgage from each of the three lenders providing the loans.
This has now ended with more flexibility in the percentage of the value of their home that can be borrowed - to a maximum of 50% - and more choice in the mortgage buyers take out.
This means a household with an income of £32,000 could afford a house of £200,000, paying £760 each month - as opposed to £1,350 without the scheme.
Housing and Planning Minister Caroline Flint said: "We have already helped more than 95,000 households onto the housing ladder since 1997 through our low cost home ownership schemes. These new products will help us do even more.
"Not only will the new loans increase affordability for key workers and first time buyers, they are a lot more flexible, allowing buyers to shop around for the best mortgage deals."
(CD)
The Chancellor announced that from April this year two new equity loans will be available through the Government's shared equity scheme Open Market HomeBuy (OMHB). The loans allow buyers to shop around for the best mortgage deals and are simpler to arrange than previous OMHB products.
Until now OMHB loans could only be taken out in chunks of 32.5%, 25%, or for the Government only loan, an average of 17.5% of the property value. The loans were also restricted to just one specific mortgage from each of the three lenders providing the loans.
This has now ended with more flexibility in the percentage of the value of their home that can be borrowed - to a maximum of 50% - and more choice in the mortgage buyers take out.
This means a household with an income of £32,000 could afford a house of £200,000, paying £760 each month - as opposed to £1,350 without the scheme.
Housing and Planning Minister Caroline Flint said: "We have already helped more than 95,000 households onto the housing ladder since 1997 through our low cost home ownership schemes. These new products will help us do even more.
"Not only will the new loans increase affordability for key workers and first time buyers, they are a lot more flexible, allowing buyers to shop around for the best mortgage deals."
(CD)
Related UK National News Stories
Click here for the latest headlines.
15 April 2009
House Purchase Lending Edges Up And Remortgaging Declines
The number of house purchase loans ticked up in February, according to new data from the Council of Mortgage Lenders (CML). There were 24,300 house purchase loans worth £3.1 billion, compared with 23,400 loans worth £3.1 billion in January - a 4% increase.
House Purchase Lending Edges Up And Remortgaging Declines
The number of house purchase loans ticked up in February, according to new data from the Council of Mortgage Lenders (CML). There were 24,300 house purchase loans worth £3.1 billion, compared with 23,400 loans worth £3.1 billion in January - a 4% increase.
12 February 2010
Loans Boost As Buyers Beat Stamp Duty
The number of loans to first-time buyers hit a two-year high in December 2009, driven by a rush to buy properties in the £125,000 - £175,000 bracket before the year-end stamp duty concession expired, according to figures released today by the Council of Mortgage Lenders (CML).
Loans Boost As Buyers Beat Stamp Duty
The number of loans to first-time buyers hit a two-year high in December 2009, driven by a rush to buy properties in the £125,000 - £175,000 bracket before the year-end stamp duty concession expired, according to figures released today by the Council of Mortgage Lenders (CML).
02 February 2012
Labour Question Tax Deal For Student Loans Chief
Labour's Shadow Exchequer Secretary has called for an investigation after reports emerged that the chief executive of the Student Loans Company was paid through a third party company.
Labour Question Tax Deal For Student Loans Chief
Labour's Shadow Exchequer Secretary has called for an investigation after reports emerged that the chief executive of the Student Loans Company was paid through a third party company.
02 November 2011
Student Loan Company Recruits 'Lab Subjects'
Students from across the country are being recruited to take part in a unique experiment, which could shape how student finance products and services are run in the future. The Student Loans Company (SLC) has launched a nationwide search for 5,000 customers to take part in its online Student Finance Lab.
Student Loan Company Recruits 'Lab Subjects'
Students from across the country are being recruited to take part in a unique experiment, which could shape how student finance products and services are run in the future. The Student Loans Company (SLC) has launched a nationwide search for 5,000 customers to take part in its online Student Finance Lab.
17 December 2009
National News In Brief
White Christmas? About 200 drivers on the M20 and M2 in Kent were stuck in tailbacks overnight and flights have also been cancelled. Other commuters are also experiencing travel disruption as heavy snow falls across much of the UK, with south-east and east England worst affected.
National News In Brief
White Christmas? About 200 drivers on the M20 and M2 in Kent were stuck in tailbacks overnight and flights have also been cancelled. Other commuters are also experiencing travel disruption as heavy snow falls across much of the UK, with south-east and east England worst affected.
-
Northern Ireland WeatherThis Evening and Tonight:Showers, scattered in the evening, will clear by midnight leaving the night dry with clear spells. Perhaps a touch of ground frost. Cloud will spread east towards morning. Minimum temperature 2 °C.
