The Daily Mail this week revealed that thousands of First Time Buyers who applied for help through the MyChoice Homebuy scheme have been told that there is no more money available. The scheme allowed housing associations to supply a low cost loan with the buyer funding the rest with a deposit and mortgage. The Government allocation for the 2008-09 tax year was quickly used up however, and many housing associations made promises to applicants based on further funding they expected to receive this year, which has failed to materialise.
On a brighter note the paper also reports that lenders are cutting fees in a bid to attract First Time Buyers, with Abbey being the latest to launch a fee free 3 year fixed rate.
Elsewhere The Times reported that thousands of Buy to Let landlords are struggling with their mortgage payments, with an estimated 3.55% in arrears of at least 3 months, up from 0.95% at this time last year.