Help to Buy Scheme Out Of Reach Of Lower Earners

Low to middle-income families are unlikely to be able to use the government's flagship Help to Buy scheme across two-thirds of Britain, since the monthly mortgage repayment costs would be too expensive, new research shows.  The Resolution Foundation thinktank found that even with rock-bottom interest rates, the leap from renting to home ownership will be "too great a stretch for low and modest-income groups," in an analysis examining the prospects for the scheme designed to help aspirant home owners find the deposit to buy a property. The thinktank found that a couple with one child with a net income of £22,000 would struggle to afford the monthly payments on a 95% mortgage for a two-bedroom home in two-thirds of all local authorities. These local authorities with high-priced homes are predominately in south-west, south-east and eastern England and the East Midlands. Read more on the Resolution Foundation website.