Solihull Council has told Government that it wants to be one of the first local authorities in the country to set up a mortgage rescue scheme, which would help homeowners threatened with repossession stay in their homes.

The Government is planning to introduce the mortgage rescue scheme from the start of December.

Under the scheme a housing association would take on the property with the owner remaining in it, either as a tenant paying rent or on a 'shared ownership' basis. In this case the housing association would purchase a part of the property only so as to make a persons housing costs affordable.

-- Advertisement --

The scheme will be a partnership between the Council, a housing association, the Citizens Advice Bureaux and the mortgage lender.

The scheme will not be suitable for everyone and will only be considered once all other options have been investigated. People who are concerned about their mortgage repayments should always keep in contact with their lender and get early advice on their options if they are getting into difficulty paying. People threatened with repossession should contact Solihull Community Housing’s homelessness prevention team immediately or one of the Citizens Advice Bureaux in the Borough.

Councillor Ian Hillas, Cabinet Member for Economic Development and Regeneration, said: "Solihull Council is committed to helping people as much as we can through these difficult times. In addition to our efforts to provide more affordable homes and investment in additional housing and money advice services our involvement in the national mortgage rescue scheme will help prevent mortgage repossessions wherever possible. I would urge anyone with concerns about their debts or losing their home to contact Solihull Community Housing or one of the borough’s Citizens Advice Bureaux."

(CD)