Lloyds vows to make home ownership a reality

Stephen Noakes, mortgage director at Lloyds Banking Group, said by the end of 2013 the lender expected to have supported roughly 60,000 people buying their first home.

He said this would be delivered through Halifax’s affordable housing schemes, new builds, the NewBuy schemes, 90 per cent loan-to-value products and the Lloyds TSB lend a hand schemes.

Mr Noakes said: “The recovery in the housing market rests on growth in the wider economy. While the property market is likely to continue to be challenging, we remain committed to getting things right at the start of the chain, creating liquidity in the housing market and helping more people get on to the property ladder in 2013.”

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In 2012 Lloyds Banking Group committed to lending £5bn to support 50,000 first-time buyers. At September 2012, the Group had helped 40,000 customers, the equivalent of one in four first-time buyers, to purchase their first home.

Andrew Montlake, director of London-based Coreco Group, said: “We have definitely seen signs that the government’s latest scheme to get lenders to lend once more, the Funding for Lending scheme, is beginning to have a marked effect as the rates now available have fallen and lenders are beginning to compete again.

“What is more, there are signs that this competitiveness is not just in the areas where a large deposit is needed, but products with a 15 per cent, 10 per cent and even a 5 per cent deposit are starting to appear once more at affordable rates.”