Mortgage Help For First Time Buyers In Mid & West Wales

Mid and West Wales AMs Rebecca Evans and Joyce Watson have welcomed the news that first-time homebuyers in Mid & West Wales will be given support to get on the housing ladder, thanks to a new Welsh Labour Government scheme.
The mortgage guarantee scheme which is due to be rolled out in the Spring of 2013, will be available to all buyers in areas of housing pressure and first time buyers across Wales, it will support the purchase of up to 3,000 new build homes up to value of £250,000.
Rebecca Evans said:
“It was recently reported that the average age of the first time buyer is now 35, and it is becoming even harder for people to secure mortgages and to get on the housing ladder. That’s why I am delighted that first-time homebuyers are to receive this timely support.
“This scheme can offer real help to people who want to buy homes, but are trapped in the private rental sector because they can’t get a bank to offer them a mortgage.”
Joyce Watson said:
“The mortgage guarantee scheme will also give a boost to the construction industry; creating jobs and stimulating the local economy.
“Details of the scheme are being worked out, but I am sure that it will be a hit with hard pressed first-time buyers.”
Rather than funding being made directly available to buyers, the Welsh Government and house builders will act as guarantors so that buyers can secure high loan to value mortgages that would not otherwise be available to them. Buyers will contribute a 5% deposit.
The Housing Minister, Huw Lewis said:
“This innovative scheme is excellent news for potential house buyers, the housing industry and the wider economy.
“Not only will it help people whose plans for buying their first home or for moving to a bigger home have stalled due to lending restrictions from banks, but it will also provide house builders with potential new customers, and therefore will boost house building which will in turn create jobs and stimulate growth.”