7
Mar
Government 'should aid mortgage market'
A budget should be created for the mortgage market, something that
could help first-time buyers, the Association of Mortgage
Intermediaries (AMI) has suggested.
The organisation claimed that the government should take the
measure in the aftermath of the credit crunch, which has seen
mortgage prices rise.
Others affected by the current turbulent conditions include those
with bad credit histories and investors in the buy-to-let sector,
the AMI argued.
If first-timers were helped then the whole industry may receive a
welcome boost, director of the association Richard Farr
asserted.
"Stimulation of the first-time buyer market would provide a boost
to the entire housing chain. The economy can be seriously affected
by a slowdown in housing transactions with knock on effects being
felt by developers ... surveyors and retailers," he said.
The recent credit crunch began because subprime loans in the US
were not paid back, something that made it more difficult for
people to gain credit or mortgages.