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Real Estate News Releases
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(EMAILWIRE.COM, April 23, 2009 ) UK - The much anticipated budget will be revealed today by Chancellor of the Exchequer, Alistair Darling – it is expected to include a radical scheme under which the Government will part-nationalise the housing sector, freeze stamp duty and cut mortgage payments…
A whopping £1 billion is being injected into the UK property market by the Government under their ‘Investing in Recovery’ scheme, in a bid to get it back on its feet.
The Government, which has said that the UK economy could take up to 10 years to be fixed, will take stakes in stalled housing developments using the £1 billion – which will effectively part-nationalise the sector.
The Budget will also place a strong emphasis on social housing – following news that inflation has hit the UK for the first time in nearly five decades.
In the first negative reading since March 1960, the retail price index (RPI) for last month were lower than at the same time a year ago, according to the Office of National Statistics.
Now, a special fund will be set up to reverse decades of movement away from council houses and a fund to buy these homes will be set up.
The Government will also announce the start of a scheme to help homeowners remain in their homes if they fall on difficult times by implementing an option to cut mortgage payments for up to two years. This is hoped to be able to stave off some of the repossessions which are currently rife all over the world.
Housing Minister Margaret Beckett denied the scheme was a payment holiday and said it was just a temporary measure to help out those in need.
The provisions are restricted to people who bought houses before last December, owe less than £400,000 on their mortgage and have savings of less than £16,000.
They must have a regular household income, have no missed payments in the previous five months and be able to pay at least 30 per cent of the total interest payment each month.
Although more than 80 per cent of lenders have already agreed to take part in the scheme, some industry experts are concerned that all this would do is delay the repossessions until 2011.
Stamp duty on properties worth under £175,000 will continue to be frozen until the end of this year.
For more information on property in the UK and the market in general, please visit http://www.themovechannel.co.uk/
-ENDS-
Notes to editors:
TheMoveChannel.com is a property website that was founded in 1999 as an online resource for buying, selling and learning about property. It now receives as many as 300,000 visits per month and advertises over 50,000 properties in nearly 90 countries, which are listed by over 500 partner organisations.
For further information, please contact:
Dan Johnson
Managing Director
www.themovechannel.co.uk
0207 952 7650
TheMoveChannel.com
Dan Johnson
020 7952 7650
dj@themovechannel.com 
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