Mark Wadsworth

This is a spare 'blog in case my main 'blog at markwadsworth.blogspot.com isn't working

Another day, another desperate throw of the dice (45)

From The Daily Mail:

Banks should offer ‘mates mortgages’ to help groups of friends buy a home together, a Government minister will say today.

Grant Shapps will urge lending giants to send a lifeline to the record numbers of first-time buyers struggling to get on the property ladder. The housing minister said that without urgent help from banks a generation of young people would be locked out of the market. The answer, he suggested, was a radical and new type of lending that he called ‘mates mortgages’.

In most parts of the country it is almost impossible for a young person with a full-time job to buy a home on their own. The average salary of workers in their 20s is £21,000 whereas the cost of the average home is around £160,000. As a result, only those on much higher salaries or with family money can put down a deposit on a house.

Mr Shapps said: ‘If there are mates who are perfectly capable of paying monthly mortgage payments but are struggling to fund a deposit of their own, there should be straightforward options to unite with their friends and take the first step on to the housing ladder together.’

I’m sure you can all see several flaws in that.

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