Yesterday we found a very interesting article about how difficult it is for first time home buyers to get onto the property ladder. It appears that it is now much more difficult to purchase your first home compared to the last 5 to 10 years.
On the surface it appears that the government are letting down first time buyers who really need support in these difficult financial times.
It seems that people who have bought properties and lost their job are being looked after, they have been given a 2 year grace period with their mortgages. However the mortgagor needs to be receiving unemployment benefits or state benefits.
So the interest over a 2 year period can be paid back after 2 years, at this point hopefully the borrower will be able to pay for the interest.
The big problem is that many people may still not have enough money to pay back the loan in 2 years, it is unlikely that the economy will improve significantly within this period of time.
If the borrower is not able to pay back the interest after 2 years, then tax payers will have to pay back the bank.
It seems that the UK is being further split into the wealthy and the poor, this can create social and economic problems which are difficult to fix.
Do you think the government are doing enough to help first time home buyers?