Loans - Government announces new loan scheme - 02/09/2008

A new package of measures intended to help first-time buyers has been announced by the Government. Included will be loans co-financed by the government and large developers that cover 30% of the cost of a home.

The Department for Communities and Local Government (DCLG) announced the new measures hoping to boost the ailing housing market by allowing first-time buyers unable to get on the housing ladder.

The scheme, called HomeBuy Direct, will offer “free” loans for 5 years, with a currently unknown fee payable after five years. According the the DCLG "hundreds of millions of pounds" have been set aside for this scheme. A spokesman for the DCLG made clear that:

"Not only will this help first-time buyers, but it will also support the industry by identifying buyers for their new homes. This will help the housebuilding industry weather difficult conditions, so that, when the market recovers, they are ready to expand and get back on with building the new homes the country needs for the long term."

These measures come in the wake of a Bank of England report showing the number of home loans down 75% in the last year.

 
 
Related News
  02/07/2009 - More borrowers to default on loans. The increase in the number of people defaulting on loans is expected to rise...
01/07/2009 - Closing the net on loan sharks. The Trading Standards Institute has honoured a mother from Cheshire because she regularly speaks...
29/06/2009 - Student loan debt at highest ever record. It has been revealed that more than 2.2 billion of student loans have still...
 
Related Guides
  Why take out a Personal Loan. A guide to Loans Which loan is right for you All you need to...
Top Tips to taking out a loan against your home. A guide to Loans Which loan is right for you All you need to...
Which loan is right for you. A guide to Loans Which loan is right for you All you need to...
 
Related Articles
  New loan could light the way for businesses. The Secretary of State for energy and Climate Change is calling on UK companies...
"Buy now pay later" offers are worse in the long run. With the great downturn in the property market, more homeowners are looking to improve...
The banking crisis: Is it over?. Brits have already witnessed the extinction of the 100 per cent mortgage as a...
Call our loans centre on:
0800 1777 197

Loans Guides
Mortgages - A guide to mortgage rescue
There are several ways to curb being unable to repay your mortgage, some of which are outlined...
How much will a secured loan cost
Lenders charge an interest rate on any loan you take out, this is the Annual Percentage Rate (APR). The loan's amount, term and APR are determined by...
How much will a secured loan cost
Lenders charge an interest rate on any loan you take out, this is the Annual Percentage Rate (APR). The loan's amount, term and APR are determined by...

Loans News
02/07/2009 - More borrowers to default on loans. The increase in the number of people defaulting on...
Read More
01/07/2009 - Closing the net on loan sharks. The Trading Standards Institute has honoured a mother from...
Read More
29/06/2009 - Student loan debt at highest ever record. It has been revealed that more than 2.2 billion...
Read More
26/06/2009 - Loan availability is dropping. The consumer credit market is shrinking, according to the...
Read More
More News >>




THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPATMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT
MISSING PAYMENTS WILL HAVE SEVERE CONSEQUENCES AND MAY MAKE OBTAINING CREDIT MORE DIFFICULT IN THE FUTURE.