New plans to help young people in Ceredigion on the housing ladder will be under the spotlight next week.

The independent group at Ceredigion County Council has developed a ‘vision towards creating a pathway to home ownership for the younger generation,’ which members of the corporate resources overview and scrutiny committee will consider on Monday, November 29.

The aim is to create a scheme to support young people to purchase their first home with evidence to show “that the economy in Ceredigion means that there are limited opportunities for young people to be able to purchase a first home.”

The committee is asked to consider the report and then decide if a request is made to officers to research the proposal’s viability for further discussion in January.

Data provided to the committee highlights that Ceredigion’s average earnings of £22,028 is more than £1,500 lower than the national average but housing affordability ratios are the fourth highest at 6.97.

House prices have increase nearly 15 per cent in the last 12 months – the third highest increases in Wales –  and the average cost is £212,987, the highest on record, a report adds.

The meeting will kick start discussions on creating a pathway to home ownership, an independent group report states, with the main points to begin with focusing on community housing, eligibility, and how such a scheme would be financed.

One of the ideas is to increase housing with a shared equity scheme “in which potential purchasers get a mortgage for 50-70 per cent share of the home they need, with the council holding the remaining share, offering an opportunity for the owners to ‘stair case up’ to higher share ownership of the property over time as their circumstances change.”

This would help those that are above the affordable housing need – with the shortage of availability also recognised – but are still priced out of the market.

The plan outlines a cap on community housing prices of potentially £250,000 with eligibility requirements linked to borrowing ability and a link to Ceredigion including having been to school in the area and moving back or currently working and living in the county.

Finance options put forward include the council “bank rolls the scheme” from its revenue settlement grant, seeking match funding from Welsh Government and using money raised through the second and empty homes council tax premium.

Reference to a 2012 scheme that saw the council help local people with mortgages by providing a percentage of their deposits is also made and its possible revival to be considered.

The council’s housing team is also considering new ways to support new house building including a scheme to secure finance for self-builders, the report adds.

Independent councillors include Marc Davies, Euros Davies, Ifan Davies, Peter Davies, Keith Evans – chairman of the corporate resources overview and scrutiny committee – Gwyn James, Dan Potter, Ivor Williams and cabinet members Rhodri Evans, Gareth Lloyd, Ray Quant – who is also deputy leader of the council.