Government takes steps to help the ailing housing market

Posted under General by Jermaine

The government is finally taking some steps to aid the housing market. Schemes like rent to buy will benefit first time buyers and new housing companies based locally. Caroline Flint, the Housing minister announced a number of measures to get the housing market back on track.

One of the measures is a scheme to aid first time buyers in homeownership. The minister also announced the creation of the first 4 PPP local housing companies. The schemes are aimed at helping people who are facing difficulties currently and also to improve the long term conditions in the housing market.

The new scheme will allow first time buyers who are earning lower than £60,000 a year, to rent their property at eighty per cent of market rent or less for 2 to 3 years and later on offer the option of part ownership of the property.

Four new local housing companies have been started to promote additional house building with help of a partnership between private firms and councils. The surplus land with councils will be put into the new bodies. Additional skills and investment would be provided by the private sector. The government also announced that it will work closely with housing associations and local authorities for examining proposals of mortgage rescue schemes

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