United Kingdom's Prime Minister, David Cameron, has announced that he is planning to launch a 'crusade' to transform "generation rent" into "generation buy."
"We need a national crusade to get homes built," Cameron said in his keynote speech at the Tory Conference. "That means banks' lending, government releasing land and, yes -- planning being reformed."
The Prime Minister sets out a vision of creating a 'turnaround decade' in which a transformation will occur in Britain's problems in areas including housing, the economy, and social mobility.
As a stepping stone, Cameron plans to change the law to allow builders to build and sell low-cost 'starter homes' in sites normally intended for rented housing.
In a report by BBC, the 200,000 'starter homes' will be built and offered to first-time buyers under 40 years of age, as well as will have a 20 percent discount.
"For years politicians have talked about building 'affordable homes' -- but the phrase was deceptive. It basically means homes that were only available to rent. What people want are homes that they can actually own," explained the Prime Minister.
According to Daily Mail U.K., the 'starter homes' scheme will involve the construction of homes that may cost £250,000 outside London and £450,000 in the capital. There would be no limitations in the income of the buyers, but they should be a first-time buyer and should live in the house that they bought. Buyers are also prevented from selling the house (with the intent of a quick profit) that they bought for up to five years.
"When a generation of hard-working men and women in their 20s and 30s are waking up each morning in their childhood bedrooms -- that should be a wake-up call for us," Cameron told the Tory Members in Manchester.
The 'starter homes' scheme is just a part of a larger scale plan of Tory to build one million homes by 2020.
