Government throws lifeline to first time buyers

First time buyers have been handed a fillip in the form of a new government scheme to help them get on the housing ladder.

The Rent to Home Buy scheme has been announced today by Caroline Flint and is open to first time buyers whose total household earnings do not exceed £60,000.

Under its terms, first time buyers will initially be permitted to rent a property at a reduced rate for between two and three years.
At the end of this term, they will be afforded the chance to buy part of the home.

Caroline Flint, the housing minister, commented: "We are determined to continue to do everything possible to promote long-term stability and fairness in the housing market.

"The international credit crunch has created significant challenges not just for the UK housing market, but in other parts of Europe and the United States."

Rent to Home Buy will initially be trialled in selected parts of the UK.