News
Concern over whether Help to Buy Mortgage Indemnity Guarantee Scheme will boost the housing market
13 May, 2013
Former Council of Mortgage Lenders Director General says the Government’s £130bn Help to Buy mortgage indemnity guarantee scheme is unlikely to gain support from lenders and boost the housing market. Michael Coogan says the cost of the guarantees may put lenders off signing up for the scheme while borrowers may also be dissuaded if the… Read more »
Increased reservations for new homes following launch of Help to Buy
10 May, 2013
Barratt has reported an increase in reservations for its homes following the launch of the Government’s Help to Buy scheme at the start of last month. The housebuilder said reservations were up 18% on last year and 9.7% overall in the period from 1 January to 5 May. The company also said the Government’s planning… Read more »
Call for a land value tax to help deliver ‘house-building revolution’
9 May, 2013
A think-tank has launched a paper calling for a land value tax to help deliver a ‘house-building revolution’. the Centre for Labour and Social Studies suggests this could replace business rates and stamp duty and should be levied on all land except where it lies under people’s homes. The paper says the tax should end… Read more »
Little change in house prices during April
3 May, 2013
House prices changed little in April, declining by 0.1% compared to March, after taking account of usual seasonal effects. But there is some evidence that activity and prices have gained some momentum in recent months. The price of a typical home declined by 0.1% between March and April, but was 0.9% higher than April 2012…. Read more »
Important news about interest-only mortgages
2 May, 2013
Lots in the news today about interest-only mortgages. The Financial Conduct Authority has published its research into consumers’ ability to repay these mortgages when they mature. The findings show that many people should be in a good position to repay their mortgage when it is due for repayment. However many borrowers, particularly those whose mortgage… Read more »
Halifax makes changes to its product range
1 May, 2013
Halifax has made the following changes to its product range: The lender will pay the full balance of the 1% Stamp Duty Land Tax for First Time Buyers (FTB) where the property purchase price is between £125,001 and £250,000. This equates to a cashback of between £1,250 and £2,500 on selected products. For more information… Read more »
Concerns over Government’s intervention in the mortgage market
30 April, 2013
The Chairman of the Council of Mortgage Lenders Nigel Terrington has highlighted concerns that the Government’s intervention in the mortgage market could amount to no more than throwing money in the wrong direction. He is quoted as saying: “My concern is that as a country, we are throwing considerable monetary and credit easing at the… Read more »
Buying a property ‘back in reach’ for first time buyers
29 April, 2013
A piece in today’s Daily Telegraph talks about how there are signs that more first time buyers are looking to buy their own homes, five years after the crash in the mortgage market. The number of first-time buyers increased by 3% in February, making it the best start to a year since 2008. Mortgage availability is… Read more »
Funding for Lending Scheme to be extended by a year
25 April, 2013
It was announced this week the the Funding for Lending Scheme is to be extended by one year. Launched in July last year, the FLS was designed to incentivise banks and building societies to boost their lending to the UK real economy. The extension has three main objectives: 1) Give banks and building societies confidence that… Read more »
Concern over Help to Buy
23 April, 2013
There is concern that the Government could face ‘large losses’ under its Help to Buy scheme because it has failed to take into account the “unintended consequences” of the scheme. The Treasury Select Committee’s Budget 2013 report, expressed concern that the Treasury now has an active role in the mortgage market and a vested in interest… Read more »