The Mortgage to Rent Scheme is to be improved to reflect the current housing market conditions and most up-to-date research on those in long term mortgage arrears.
The MTR scheme offers households who are unlikely to maintain payments on their home the chance to surrender the property to a lender and in return become a social housing tenant whilst staying in their own home and community.
The key changes include an increase to the positive equity limit, additional flexibility in the number of allowable bedrooms in a dwelling – this will apply for borrowers aged 65 and above, and borrowers who have a disability, or where a dependant has a disability.
It is expected that an average of 1000 mortgage holders per year could avail of the scheme.
