'Bank action' needed for FTBs

04-Dec-2008

Banks must pass interest rate cuts on to first time buyers through reduced lending rates to revitalise the housing market, according to the National Association of Estate Agents (NAEA).

Peter Bolton King, chief executive of the group, said the NAEA is waiting in anticipation for this month's Bank of England interest rate decision, which is announced at 12:00 GMT today.

The Bank cut rates by 1.5 per cent last month to three per cent, the lowest level seen since the 1950s.

Further rate cuts would increase pressure on mortgage lenders to introduce lower-priced products for borrowers, which could benefit those looking for first time buyer mortgages.

"It is only through a joint effort between government, industry and the banks that fluidity in the market can be increased," Mr Bolton King said.

This week the NAEA has also welcomed the government's decision to allow homeowners facing repossession to delay their interest repayments in the current economic climate.

FirstRungNow.com - how to buy a house, from finding your first flat or first house, first time buyer mortgages, shared ownership, buying with friends, gifted deposit, part buy part rent - all a first time buyer could possibly need.

Rics welcomes savings scheme for FTBsUK interest rates cut to 3%House prices continue to fall

2012: May | Apr | Mar | Feb | Jan

2011: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2010: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2009: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2008: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2007: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2006: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2005: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar