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HomeBuy products 'disappointing'

Government focus on Open Market HomeBuy products has been described as 'disappointing' by one mortgage expert.

Louise Cuming, head of mortgages at price comparison website Moneysupermarket.com said that HomeBuy schemes were only available to a limited number of people.

As such they fail to help thousands of first time buyers who are not key workers - such as nurses and teachers - but are still struggling to find an affordable home loan.

"Equity share mortgages are a good option in principle, but they benefit so few borrowers that they are of absolutely no use for reigniting the stagnating mortgage market," Ms Cuming said.

"The choice of products under this scheme remains limited and it can be difficult for customers to find a package that suits them. Should you be lucky enough to find a suitable product, you will be faced with a lengthy and complicated application process."

The comments follow proposals in chancellor Alistair Darling's Budget speech on Wednesday to include key workers who could afford 50 per cent of the value of their desired property in the scheme.

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