Advice centre urges more clarity for first-time buyers

Posted: 29 Jul 2008 13:20:13 GMT

First-time buyers are being charged "extortionate" fees by agents who are honing in on their lack of understanding of the "archaic" process that is involved in purchasing a property.

That is the warning from the Homeowners Advice Centre, who has said that more clarification is needed to avoid confusion.

The centre has suggested that conveyancers could provide guidelines to homebuyers to improve the situation.

Al Elliott, spokesperson for HomeownersAdviceCentre.co.uk, explained: "Perhaps the introduction of Key Facts Illustration, like in the mortgage industry, might make buyers realise what they are paying for, and where the money goes."

His comments follow an announcement by the government earlier in the month of a new 'Rent to Home Buy' scheme which is an attempt to help those struggling to get on the property ladder.

Under the scheme, households earning less than £60,000 a year would be able to rent at 80 per cent less than the average rate for two to three years to allow them to save enough for a deposit.

According to Edmund Conway writing for the Telegraph, "for a lucky cross-section of homebuyers, the next two years promise to be an excellent time to snap up some great deals".

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