The Conservatives will bring forward a scheme that will allow people to take out 95% mortgages. The Help To Buy scheme has been brought forward 3 months and will take action later this week.
The scheme is controversial…
The idea is that it helps people get on to the housing ladder.Cameron is claiming that it’s unfair for poorer people to be left out and unable to get on to the housing ladder. To be honest it’s a fair idea why should houses be for the rich, not everybody want to live in a council house or have to rent from a private land lord.
The problem is it might cause another property bubble. When things go well in the housing market we seem to do fine but if that bubble collapses well it’s not good for the economy. It really is a double edge sword.
Shall we ride the good times and then fall on our faces or shall we build up slowly. To be honestly as long as we don’t spend our days doing nothing and have a country full of homeless people who cares if the homes are rented or bought.
Let’s have a place of everybody to live.
The alternative to this mortgage scheme is to build more houses. This is a good idea in a way but where are you going to get the money from. We can’t borrow more money to build houses because that will be putting us further in to debt. At least if people are getting mortgages there is money floating around the system.
We need to find a decent way to make housing more available in this country and both ways are as valid as the other but could fail drastically. The best thing to do is to come up with a compromise.