Posted on 06th October, 2020

Boris Johnson pushes for a low deposit mortgage

By Laura O'Sullivan

The Prime Minister has made a promise to create lower mortgages for ‘Generation Buy’

Boris Johnson announces a new mortgage plan to help the younger house buyer secure their first home. In an interview with The Telegraph, he admits that a huge number of people feel excluded from owning a home in the UK, specifically young people.

A low deposit mortgage is to be the answer to this problem, with Johnson stressing that the government are committed to helping.  

The average cost of a home in Britain has risen to £245,747, according to mortgage giant, Halifax. A figure which can sound unreachable to young, first-time buyers as this is eight times the average salary in England. The pandemic has only enforced this as lenders have cut maximum loan to values (LTVs).

In the interview, the Prime Minister said ““I think a huge, huge number of people feel totally excluded from capitalism, from the idea of home ownership, which is so vital for our society. “And we’re going to fix that – Generation Buy is what we’re going for.”

‘Generation Buy’ aims to encourage the availability of long-term fixed deals with 5% mortgages. A huge difference to the current demand of 15% – 20% of the property’s value.

Your options with Wavensmere Homes

Depending on your location, we have a variety of homes available to get yourself on the property ladder.

Crocketts Lane, Smethwick – prices from £135,000

The Forge, Digbeth – prices from £216,000

Nightingale Quarter, Derby – prices from £182,500

Get in touch today for more information.