logo
伦敦 icon
icon 伦敦 icon
新闻与资讯
UK Chancellor Plans to Launch "Help to Buy" Style Scheme
二月 26, 2024
UK Chancellor Plans to Launch 伦敦
By   Internet
  • 都市报
  • "Help to Buy" Scheme
  • Mortgage Market
  • Property Market
Abstract: The CEO of mortgage lender Perenna proposed that combining the scheme with long-term fixed-rate mortgages could mitigate associated risks. However, some critics fear it may encourage speculative home buying, potentially driving up prices. Additionally, there are concerns that if house prices decline, homebuyers could face negative equity risks, and taxpayers would bear the burden of loan defaults.

UK Chancellor Jeremy Hunt plans to introduce a mortgage market scheme called "Help to Buy," aimed at attracting young voters. Under the scheme, borrowers can access mortgage loans of up to 99% loan-to-value ratio, the highest since the global financial crisis. While similar to previous "Help to Buy" schemes, this time the government will provide a certain level of support.


However, the scheme has sparked some controversy and concerns. On one hand, supporters believe it will help young people with insufficient savings to achieve their dreams of homeownership. For many young people, the down payment is one of the biggest obstacles to buying a home, so this scheme will provide more opportunities for them to own their own homes. On the other hand, critics worry that such a scheme may lead to further housing price increases and increase market instability.


UK Chancellor Plans to Launch

propertywire.com


Arjan Verbeek, CEO of Perenna, believes that by combining this scheme with Long-Term Fixed-Rate Mortgages (LTFRM), risks associated with high loan-to-value ratios can be mitigated. LTFRMs will allow borrowers to take on more debt because the repayment amount is fixed. However, this also requires adjustments and updates to regulations to ensure borrowers do not become overly indebted.


Furthermore, some critics are concerned that the scheme may encourage speculative home buying, leading to further price increases. They argue that the government should focus more on increasing the supply of housing to address supply-demand imbalances. Only by providing enough housing choices can true market competition be achieved, thereby keeping house prices at reasonable levels.


Another issue worth noting is that if house prices fall, many homebuyers may face negative equity risks. In such a scenario, taxpayers may have to bear the burden of loan defaults. Therefore, before launching such a scheme, the government must carefully assess and manage potential risks and take appropriate measures to protect the interests of borrowers and taxpayers.

留言
icon
请输入您的国籍
+87
不能为空
电子邮件地址无效 电子邮件地址未验证!
icon
欢迎访问 House.com
登录或注册以充分利用您的体验。这也将增加您与经纪人交流的机会。
请输入有效的电子邮件地址。
继续使用 Google
提交即表示我接受House.com的   使用条款
icon icon
验证您的电子邮件
你好 我们刚刚将验证码发送到您的电子邮件中。请检查并在此处输入验证码以继续登录。
验证码错误
没有收到电子邮件?请检查您的垃圾邮件文件夹
icon
banner
UK Chancellor Plans to Launch "Help to Buy" Style Scheme
icon 复制链接
icon WhatsApp
icon Facebook
icon Twitter