Chesterfield County Council has announced a scheme for first time buyers to get on the property ladder has been extended.

The Local Authority Mortgage Scheme (LAMS), called Local Lend A Hand, is available to first time buyers who can afford mortgage repayments and have a 5% deposit.

It enables them to get a 95% mortgage from Lloyds Bank on a similar interest rate to a 75% one.

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Chesterfield Borough Council provided £1m, with an additional £250,000 coming from Derbyshire County Council, to set up the scheme in Chesterfield in May last year.

Chesterfield Borough Council has decided to increase the maximum mortgage available to £142,500. With a 5% customer deposit, this enables a first time buyer to buy a home up to the value of £150,000. The mortgage is subject to Lloyds Bank's usual lending criteria.

Previously it was only possible to borrow up to a maximum loan of £114,000.

The scheme is available to first time buyers who live in the Chesterfield borough and want to buy an existing property within the borough.

(CD/JP)