Government-backed mortgages soar in popularity

The number of home loans that are backed by the government is growing as lenders take advantage of the mortgage guarantee scheme, which helps those with only a 5% deposit to get on the property ladder. Some 5,853 government-backed mortgage deals were completed across October, November and December compared with 6,535 in the six months before that. The mortgage guarantee scheme has backed 12,388 home loans worth £326m by the end of 2021 and about 86% of the loans went to first-time buyers. "The scheme is off to a decent start," said Myron Jobson from the investment platform Interactive Investor. "It does not protect against negative equity, however, which might concern those who paid over the odds for their homes."

The Sunday Times