Moving home: What does the gov't housing strategy mean for buyers?

Individuals moving home may be encouraged by the announcement of a new UK housing strategy aimed at replenishing the ailing housing market.

With many people priced out of property over the past couple of years, the government's new housing plans may prove more attractive to buyers, by supporting housing developers and creating a new build indemnity scheme for prospective homeowners.

Under the new strategy, up to 100,000 potential buyers will be able to secure loans on newly built homes with only a five per cent deposit.

Security for the loan will be provided by the government and house builders and if the house is then sold for less than the outstanding mortgage total the lender will be able to recover its loss.

The government also intends to review Right to Buy provisions, to increase discounts for social tenants looking to buy the property that they live in.

It is hoped that the project will increase housing supply and improve access to affordable mortgages, while creating new jobs and fostering growth among smaller builders.

Published by Phil Hammond