- 6 updates
Jake Berry MP and housing expert has told ITV Daybreak that "a stamp duty holiday [for first time buyers] doesn't work."
He added: "£3.5 billion equity stake imputed from the government to help you buy your own first home with a small deposit, at a reasonable interest rate, I think is a much better help."
Property expert, Kate Faulkner, has told ITV Daybreak that "there is already a cultural shift towards renting."
She said: "Rent can be a good option. [However] I just don't think that this mind shift has necessarily happened."
A report out today is calling for urgent dialogue between government and industry on rebalancing the housing and mortgage markets, with the onus on government to:
- Develop an overarching housing strategy across all tenures that unites the current, disjointed initiatives
- Determine a long term vision for home ownership and the extent of its support for the nations ambitions in this area
- Offer an effective safety net for homeowners facing unexpected adverse changes in circumstance by reforming Support with Mortgage Interest (SMI) or developing public-private sector partnerships
- Encourage higher rates of home building to improve the balance of supply and demand
A new report out today reveals that in just seven years time, less than a third of 25-34 year olds will be living in their own home, that's half the number of owner-occupiers in 1993.
The report by the Intermediary Mortgage Lenders Association claims Britain's reputation as a nation of homeowners is coming to an end - and that a generation of would-be first time buyers are stuck in rented accommodation.
In 2001 69% of people owned their home - that's now fallen to 64% - the first fall in owner-occupiers in a century.
While short-term measures such as the Funding for Lending Scheme (FLS) and Help to Buy have been introduced to promote economic growth, the report is still calling for urgent dialogue between government and industry on rebalancing the housing and mortgage markets.
- Some 19,400 loans worth £2.5 billion were taken out by first-time buyers in April, a 1% decrease on the previous month.
- Activity among first-time buyers in the first four months of the year has been stronger than during the same period a year ago, with 11% more loans advanced.
- First-time buyers made up 46% of all loans to home buyers in April, "considerably" higher than the 38% average seen since 2007.
- Lending was two-thirds higher in April than in the same month last year, although the ending of a stamp duty concession for this sector distorted the market.
- The latest figures also show that first-time buyers now need to put down a 19% deposit on average, compared with 20% in March
- Mortgage availability has shown a sharp increase since last August and lenders have slashed their rates since the Government launched a scheme to help boost the market.
New figures, released today, has shown first-time buyer mortgage lending has dipped for the first time since the start of the year.
Some 19,400 loans worth £2.5 billion were taken out by first-time buyers in April, a 1% decrease on the previous month, according to Council of Mortgage Lenders (CML) figures.
This marked the first drop in first-time buyer numbers since January.
Despite the recent pause, activity among first-time buyers in the first four months of the year has been stronger than during the same period a year ago, with 11% more loans advanced, the CML said.