First-time buyers react to government's housing plan

On the outskirts of Coventry a new set of affordable flats is being built but sights like this are becoming more and more rare.

Many people are finding that deposits needed to get on the housing ladder are so high there are fewer people coming to the market and less homes are being built.

It's thought the average age to own a house for the first time is now almost 43.

The Government's launched a new scheme in England. It allows first time buyers to borrow up to 95% of the value of a property, which should make it easier for people to save a deposit.

There is also a £400m pot of cash for new house building schemes. The government has called it a "kick start" to get the housing market going.

However, Labour says the government has not got a grip on the housing problem and that the situation has got worse during the coalition's first year in power.

James Austin, 25, hospital records analyst

James and Shoubna have different views on the scheme

It's almost impossible when you're this young if you haven't got two incomes coming in.

The deposit is just part of the problem, the banks look at me as a risk as I want to buy on my own.

It's tough from all angles. I need at least £10,000 for a deposit and then the rest of the costs.

I don't think this scheme will help massively as it only deals with the deposit and not the lending problem.

I'm better off waiting until the economy gets better.

Shoubna Naika-Patel, 25, media production teacher

I've looked at getting a house. I need a £20,000 deposit - that will take me a long time to build up.

But I do think this scheme will help - as if there are more homes then there will be more competition and that deposit guarantee could mean one of the obstacles i have in getting a house is taken away.

I don't think I'll be getting one in the city centre though, it will still have to be out of town.