Mortgages without Mum and Dad’s help | Letter

The deposit-free mortgages I am proposing would be aimed at those whose net income would increase significantly by moving from renting to buying, and who are not fortunate enough to be able to draw on the ‘Bank of Mum and Dad’, writes Frank Field MP

While Lloyds has identified the largest barrier facing people who are trying to buy their first home, its new deposit-free mortgage offers scant comfort for those who are not fortunate enough to have a “Bank of Mum and Dad” (Lloyds offers 100% mortgages for first-timers with well-off relations, 28 January).

I have asked the Building Societies Association whether its members would consider taking this reform one step further. This proposal was prompted by Santander’s research which showed that in every region of the country, the net income of households would significantly increase if they could buy rather than rent, but that higher rents prevent such families all too often being able to save for a deposit.

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from Property | The Guardian http://bit.ly/2G6HV03
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