Words: Ashley Rigg

Published: 17th September 2009


UK: Dragon sets up £1bn home-buying fund

UK: Dragon sets up £1bn home-buying fund
James Caan, star of BBC hit series Dragons Den is to set up a £1 billion fund to help kick-start the UK housing market.

With financial backing from Hitachi Capital he plans to offer first-time buyers short-term interest-free loans to cover costs such as stamp duty and legal fees. The company will make money by charging an arrangement fee.

The company plans to get his product to market via estate agents who are being asked to arrange the loans for buyers presumably in return for a cut of the fee.

Caan claims the scheme will transform the housing market: 'This scheme gets rid of those financial obstacles which are holding up the housing market. This means that thousands of people who have been putting off moving or buying their first home can now climb up the property ladder without further delays.'

Full story on Property Week

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