The lender has taken the decision to withdraw the ranges for the remainder of 2007, with Keith Dearling, managing director at Advantage, promising it was just a temporary measure.
He said: “Advantage remains committed to responsible lending with a prudent approach, and is fully dedicated to the Flexishare concept and government HomeBuy initiative, which both help borrowers gain additional purchasing power.
“In light of the exceptional current market conditions, we are withdrawing our Flexishare and HomeBuy products in the short term, while we make a further detailed assessment of the market.”
“Advantage seeks to ensure brokers and packagers are kept fully informed of any changes, and remains committed to providing them with innovative, flexible products that help their prime and non-conforming borrowers gain a foothold on the housing ladder.”
At a recent Building Societies Association event, Nick Raynsford, MP for Greenwich and Woolwich, said: “HomeBuy was supposed to bring simplicity to the market. If it wasn’t for Yorkshire BS the scheme would have failed.”
Tanya Jackson, media relations manager at Yorkshire BS, said: “We’re committed to the scheme and when we launched the shared equity scheme recently with the government we proved it further. As for there being a future for HomeBuy, I believe that there is, because of the rise in house prices that means first-time buyers need an option.
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