News
Public demands more government action on low deposit mortgages
The majority of British public would like greater help from government for homeowners who do not have a large deposit, according to YouGov research published by the CML.
The study found significant support for government intervention across all age groups with 59% of respondents stating that help for those with smaller deposits is required. Just 14% opposed such actions.
In addition, 60% of consumers felt that it is unfair for borrowers who have smaller deposits to be charged a higher interest rate on their mortgage.
The government announced a raft of measures as part of George Osborne’s Budget including the Chancellor’s flagship Help to Buy programme.
However, nearly half of respondents to the survey (46%) felt the new scheme would make no difference to their chances of purchasing a home in the next three years.
Low levels of savings and high house prices remain significant barriers to the market for potential homeowners.
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However, a third of respondents (34%) said that a greater number of low-deposit mortgages would help them get onto the housing ladder.