To ask the Secretary of State for Communities and Local Government what assessment has been made of the effects of the level of availability of high loan-to-value mortgages on the ability of first-time buyers to obtain mortgages. (288099)

Communities and Local Government is working closely with Her Majesty’s Treasury and the Financial Services Authority to support sustainable mortgage lending to first time buyers.

The current median average loan-to-value percentage secured by first-time buyers is 75 per cent., down from 90 per cent. in December 2007. However, the Government have substantially increased investment in low cost home ownership products; such as HomeBuy Direct which provides a 30 per cent. equity loan that can be used as a deposit.