• Friday , 22 August 2014

Sandwell set to offer mortgages to first time buyers

Sandwell Council today announced plans to offer affordable mortgages to help first time buyers get a foot on the housing ladder.

The scheme is also aimed at getting the housing market going and increasing house building in the borough.

The council’s finance boss Councillor Steve Eling said the scheme would offer sensible, affordable mortgages through a self-funding scheme.

He said: “Young first time buyers in Sandwell are struggling to get a foot on the housing ladder and we want to help them.

“We think it’s very important for people to have the chance to buy their own home – and it’s good for the economy and housing market too.”

Councillor Eling, the council’s deputy leader and cabinet member for strategic resources, said the council would require home buyers to put down a deposit of around 10 per cent of the house value.

Banks, building societies and other providers have put in place many more restrictions on mortgages since the banking crisis, and deposits can be up to 40 per cent.

At first, Sandwell would offer mortgages to first time buyers of new private sector homes in the borough, although the council may look to expand the scheme once it is up and running.

Councillor Eling added: “The mortgages we plan to offer will be sensible and affordable, not the type of reckless mortgages that some of banks and building societies used to offer.

“This scheme will also help people who are looking to buy new homes that we know are being built in Sandwell and encourage new house building too by giving developers increased confidence.”

Councillor Eling is set to approve plans to create a council mortgage scheme on Tuesday (20 March).

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  • darrencooper August 15, 2012 at 9:35 pm

    I’m really pleased to see the level of interest about Council mortgages – it proves that we were right that people are having difficulty accessing mortgages from banks and building societies and the Council scheme will help to ease that difficulty. Our scheme requires more dotting of I’s and crossing of t’s but it will be operational from October 2012 for local people to be able to purchase new build housing in the Borough. There are also other opportunities beyond the Council’s scheme via the Homes & Communities Agency to get discounts off new build homes for specific developments in the Borough, called First Buy – lots of details are on the firstbuyscheme.org.uk website.

    • Craig August 16, 2012 at 2:28 pm

      Thanks Darren, I’ll be looking forward to having a look on the website tonight. Also looking forward to October hopefully with more information and good news on the owership of my own property.

      Thanks for the reply
      Craig

    • Victoria Burke September 3, 2012 at 4:37 pm

      Help also needs to go to those who need to down size their family home, as a Widow struggling to find full time work: I dont qualify but I need to be able to afford to live and address repairs on part time work. The Government does not care.

      • darrencooper September 3, 2012 at 5:19 pm

        I very much agreed with you. The council will be looking at ways we can do this, and try and help pele like yourself.Unlike the Government as you put it they don’t care. I wouuld like to think at the Council we do. But we are being cut, at the same time build more homes for local people. Hard times but we will continue to do our best.

  • Craig August 7, 2012 at 3:37 pm

    I would love to buy an house! but due to the silly house prices of the new built homes and on my wage i doubt i’ll ever will own my own home!

    It’s a good idea but like Emma rent but love to buy a property that i could afford.

  • Emma July 10, 2012 at 11:09 am

    I’m currently renting privately & have been told I can buy if I could ever raise the mortgage, I am finding it difficult to borrow from banks and would like to know if there would be any chance of you lending me the money to buy the older house I currently live in as I’m not interested in moving to a newer built house but would love to buy this one.

    • darrencooper July 11, 2012 at 12:40 pm

      Emma, I will email you to get a bit more detail.

      • Craig August 7, 2012 at 3:39 pm

        Hi, Darren could you please send me more details about this scheme.
        Thanks Craig

  • Victoria March 23, 2012 at 10:53 pm

    It’s not just first time buyers struggling. Those on low pay and reduced hours cannot afford out homes.

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