logo
倫敦 icon
icon 倫敦 icon
新聞與資訊
The UK Cancels 99% Mortgage Scheme: Raises Concerns Over Housing Prices and Buying Risks
三月 6, 2024
The UK Cancels 99% Mortgage Scheme: Raises Concerns Over Housing Prices and Buying Risks 倫敦
By   Internet
  • 城市報
  • UK Housing Market
  • Mortgage Schemes
  • UK House Prices
  • Home Buying Risks
Abstract: The UK government recently announced the cancellation of its planned 99% mortgage scheme, sparking widespread attention and discussion. The scheme was intended to assist those with higher incomes but insufficient deposits in achieving their homeownership dreams, but it has raised numerous controversies and concerns.

Firstly, the scheme could potentially further inflate housing prices. By offering more lenient mortgage conditions, housing demand may increase, leading to price hikes. This could result in greater economic pressure for young people who have yet to purchase homes.


Secondly, the mortgage scheme carries potential risks. If the economy experiences turmoil, buyers may face increased debt risks, while falling house prices could also leave buyers in distress.


Yopa CEO, Frankie Finch, stated that this policy could potentially trap an entire generation of first-time buyers in expensive repayment plans, increasing the risk of default. Furthermore, the market may not be able to withstand this pressure, leading to continued price escalation, making it even more challenging for future buyers.


The UK Cancels 99% Mortgage Scheme: Raises Concerns Over Housing Prices and Buying Risks

propertywire


According to Yopa's analysis, based on the average house price for UK first-time buyers, buyers using a 99% mortgage would only need to pay a relatively low deposit but would have to bear a high mortgage amount. Considering current mortgage rates, buyers' monthly repayments would also be relatively high.


Overall, canceling the 99% mortgage scheme may help avoid potential economic risks and provide a more stable and sustainable buying environment for future homeowners. This decision could help maintain stability in the real estate market and reduce the risk for buyers facing financial issues.


When formulating similar policies, the government should exercise greater caution, balancing supply and demand dynamics to avoid excessive stimulation of price increases and ensuring that buyers can bear the burden of mortgage pressures. Additionally, the government should consider the long-term implications to establish a healthier and more sustainable real estate market and provide better homebuying conditions for the general population.

留言
icon
請輸入您的國籍
+87
不能為空
電子郵件地址無效 電子郵件地址未驗證!
icon
歡迎訪問 House.com
登錄或註冊以充分利用您的體驗。這也將增加您與經紀人交流的機會。
請輸入有效的電子郵件地址。
繼續使用 Google
提交即表示我接受House.com的   使用條款
icon icon
驗證您的電子郵件
你好 我們剛剛將驗證碼發送到您的電子郵件中。 請檢查並在此處輸入驗證碼以繼續登入。
驗證碼錯誤
沒有收到電子郵件? 請檢查您的垃圾郵件資料夾
icon
banner
The UK Cancels 99% Mortgage Scheme: Raises Concerns Over Housing Prices and Buying Risks
icon 複製鏈接
icon WhatsApp
icon Facebook
icon Twitter