Nationwide is calling for greater government support for first-time buyers ahead of the Chancellor’s Autumn Statement as rising costs delay owning a home.
Nationwide has published a range of measures needed to make a positive difference, especially for first-time buyers.
It includes: commissioning an independent review of the first-time buyer market to focus on the gap between income growth and house price growth, inadequate supply, the need for planning reforms and the impact of regulations on mortgage lending. A review, Nationwide says, would help the government produce a sustainable plan to support people hoping to buy a home of their own.
The building society is also demanding the reintroduction of the Help to Buy ISA. Given the success of the previous Help to Buy ISA, Nationwide wants the government to reintroduce it and increase the amount that can be saved per month from £200 to £500. It would also like to see a proportionate increase in the redeemable bonus in line with house prices. To date, Nationwide has opened over 542,000 Help to Buy ISAs.
Nationwide director of mortgages and financial wellbeing Rachael Sinclair comments: ‘‘Homeownership for many first-time buyers is a huge challenge. Reintroducing the Help to Buy ISA would make a big difference to building a deposit, while a review of the first-time buyer market would help determine the right solutions for helping people get a home of their own”.
