Ministers are considering the benefits of Dutch-style, long-term fixed mortgages for first-time buyers.
The long-term fixed-rate mortgages, popular in the Netherlands and Denmark, offer borrowers the chance to pay at one interest rate for the entire term of the loan.
Andrew Griffith, economic secretary to the Treasury, last week met with other MPs, the Bank of England and lenders offering 40-year fixed mortgages. He later said he was “definitely interested” in the product as part of the solution to help more first-time buyers onto the property ladder.
