A FATHER says he is struggling to buy a house in Ryedale, despite four years of secure employment.

Dave Penn, who lives in Howe Road, Norton, says that because he could not afford a house in Ryedale, he was nominated for a house under the district council ‘s affordable housing scheme.

But now he cannot even find a bank to give him a mortgage to buy a house under the scheme.

He said there were no houses in Malton or Norton suitable for him and partner Michelle and nine-month-old son, William, for under £139,950.

“Some lenders are asking for a deposit of 20 per cent, but we would have no idea where to find £27,990 for that,” he said.

“We were offered a home for £80,000 under the affordable housing scheme, but ever since our decision to buy the home, my mortgage lender has made different excuses and queries with my application, despite the fact that it is all above board.”

First of all, Mr Penn says, he was offered a five per cent deposit deal, but when the Penn’s decided to apply for the mortgage, he says he was told he would need a ten per cent deposit.

When he scraped this amount together with help from friends and family, the mortgage lender then said that his basic salary was too low, despite being increased by a large amount of overtime.

Mr Penn, who works in the ticket office at Malton Station and is living in private rented accommodation in Howe Road, said: “I am angry that they moved the goalposts on two occasions.

“How is anybody expected to purchase their own property when the housing market is out of reach for everyday working people, and the banks won’t lend money for schemes designed to help the less well-off?”

Coun John Clark said: “I would be fascinated to find out, if there is only one mortgage company that lends for the council’s affordable housing scheme, why this is.

“The problem is that one of the causes of the credit crunch is people being offered larger and larger mortgages.

“If deposits were set at 20 per cent, people would have to save for a while to buy a house, but there would not be so many repossessions.

“However, what is grossly unfair is that people have been offered 90 or 95 per cent mortgages, and then once they have scraped together the deposit, they are then told they can’t have the mortgage anymore.

“I know of about 12 or 13 affordable houses available to buy, and I think a similar thing has happened with most of them.”

Richard Etherington, housing services manager at Ryedale District Council, said: “At the moment many people are trying to get a mortgage and they are finding it problematic, because some lenders now require an increased deposit.

“The council has introduced a loan deposit scheme to try to help people who find themselves in the position of having to find a larger deposit than when the original mortgage offer was made or who are simply struggling to find the deposit”

“We try our best to make sure we make provision for affordable housing in Ryedale, but we don’t have any control over whether lending authorities will give mortgages to people wanting to take advantage of the scheme.

“I don’t know if there is more than one bank prepared to lend to the scheme, but the council does not place any limits on the lending authorities who can work with the scheme.

“Anyone who is nominated for affordable housing is free to go to any lending authority to try and get a mortgage.”