A recent enquiry into the practices of a mortgage broker’s dealings of a self cert mortgage has lead to a £10,500 fine given by the FSA.

The Financial Services Authority found failures in the checks run on the income declarations made by customers when applying for a self cert mortgage. It has been suggested by the regulatory body that too much emphasis was placed on the information being supplied being 100% based in fact.

It is imperative that when applying for a self certification mortgage, that a full assessment is carried out examining the customers affordability for a particular mortgage.

In the case of this particular broker, false income declarations were made by customers, which had not been questioned. This has pointed out the fact that proper regulatory procedures were not in place to stop customers from committing mortgage fraud.

In addition to these charges, the FSA also found evidence that staff were not adequately trained and were charging customers extra fees for packagers to source products.

Although mortgage brokers do rely on their customers to be as honest as possible, thorough checks are carried out on the suitability of a person for a mortgage in line with the regulations laid out by the Financial Services Authority. It is also worth bearing in mind, that should you not be able to meet the repayments on your home, it could be repossessed.

First time buyers have been given the chance to join the property market, by entering into shared ownership schemes and now ‘older’ people and the elderly have also been given the opportunity.

Bromsgrove County Council are championing the move to provide shared ownership properties in their first extra care housing scheme.

Bromsgrove council have worked with Bromsgrove District Housing Trust to build nine apartments in Gilbert Court, Charford.

Those who are eligible are senior citizens aged 65 and over with some supported needs. They will be able to apply for a share in an apartment, expecting to pay around £52,500 for a 50% stake in a one bedroom apartment with £133.81 a month in rent as part of the shared ownership scheme.

Bromsgrove Council have embraced the shared ownership, part-buy, part-rent scheme and will also allocate a further 18 apartments to local people.

The extra care scheme that the council is planning will include building and providing facilities such as a restaurant, hairdressing salon, therapy and fitness rooms, hobby rooms, internet cafe, large function room, quiet rooms and two guest rooms.

The Bromsgrove District Housing Trust have seen the way the shared ownership scheme has worked for young first time buyers and are eager to see how this can work for older residents who require some extra care. There will also be a home care team on site 24/7, making this one of the most pioneering shared ownership schemes in the country.

Key workers in London are being offered the opportunity to get onto the property ladder in the exclusive Bloomsbury WC1 location through the new HomeBuyers scheme.

Prices are set to start at £180,000 for the Barratt Homes one and two bedroom apartments in themagnificent Bloomsbury Terrace, home to the most fabulous example of Edwardian mansion buildings in London.

English Partnerships are offering any qualified key workers working in the capital the chance to buy 35% of the properties and enter the shared ownership scheme, with the London Wide Initiative funding the rest.

Bloomsbury Terrace was built just before WW1 and was originally accommodation for police officers and later became staff quarters for nurses studying and University College Hospital. At present Barratt Homes are breathing life into the buildings, after over ten years of standing empty and in disrepair.

40% of the total homes will be available to key workers who otherwise would probably not be able to buy in the centre of London or anywhere else in the Capital.

Buyers will be able to purchase additional shares in the properties at minimum of 10% each time. The apartments bought under this scheme can also be sold on the open market, with proceeds being split between the English Partnership in proportion to the share.

If you are looking to invest in property, then the chances are that you are in quite a quandary at the moment with falling house prices and fluctuating mortgage rates hitting the headlines up and down the country.

Falling house prices are a step in the right direction for those looking to get onto the property ladder now, but with the mortgage market tightening house buyers are being asked for hefty deposits to secure their dreams of owning. For many house buyers, especially first time buyers, this is not an available option.

In addition, we may all be experiencing the beginning of a housing market crash, but prices are still too high for most first time buyers.

With this in mind, the government has opened up their shared ownership scheme to the masses of first time buyers desperate to secure a foot hold.

Originally the shared ownership scheme was only open to a select group of buyers who fell into the key worker category, but the Government has just announced that they are making the HomeBuy scheme available to all first time buyers that have a household income of less than £60,000.

The HomeBuy scheme or shared ownership allows a buyer to purchase 25% -75% of a property and then rent the remaining share from the housing association. The ‘part rent, part buy’ scheme is halfway between home ownership and renting and a definite option for those who want to get onto the property ladder, but haven’t got the cash to do so.

Anyone entering into a shared ownership scheme is using Government money and therefore the rent has to be seen to be ‘affordable’ and so the amount payable in rent and mortgage is worked out to be manageable for all parties, with the option of purchasing more percentages in the property as time goes on.

The Government has pledged to spend £200m on brand new housing – some of which, will of course be sold to first time buyers through the New Build HomeBuy shared ownership schemes.