Autumn Statement 2023: Mortgage guarantee scheme extended to 2025
Following the Autumn Statement yesterday it has been confirmed that the mortgage guarantee scheme (which was due to expire on the 31 December 2023) will be extended to the end of June 2025 to “continue helping prospective borrowers with a smaller deposit buy a home”.
This extension of the mortgage guarantee scheme by the government suggests a continued effort to support the housing market and potentially make homeownership more accessible. Mortgage guarantee schemes are designed to assist individuals, especially first-time buyers, in obtaining mortgages with more favourable terms.
Sales Director and Co-Owner of Oakwood IMC, Dean Williams outlines the many positive effects of the scheme;
- Access to Homeownership: Extending a mortgage guarantee scheme can enhance access to homeownership for individuals who may face challenges in accumulating a substantial down payment.
- Stimulating the Housing Market: Such schemes can stimulate activity in the housing market, benefiting not only homebuyers but also various sectors associated with real estate, such as construction and related industries.
- Economic Impact: The extension of mortgage guarantee schemes can have positive implications for the broader economy by supporting the real estate sector, which is a significant contributor to economic growth.
- Addressing Affordability Concerns: For many individuals, saving for a large down payment can be a significant barrier to entering the housing market. Mortgage guarantee schemes help address affordability concerns and promote a more inclusive property market.
Overall, the extension of a mortgage guarantee scheme reflects a commitment to housing market support and here at Oakwood we welcome any measures that can help people in buying their first property.
If you are buying your first home, Oakwood Independent Mortgage Consultants have the ability to thoroughly research the whole mortgage market and can help you find the right mortgage to suit your individual needs.
Get in touch to find out how we can help you.
Phone: 01202 587 555