500 people a week have been taking advantage of Help to Buy
The Chancellor, George Osborne, has called housebuilders and mortgage lenders to a meeting to discuss how the second part of the Help to Buy scheme will work.
The first phase of the scheme was launched four months ago and provides equity loans for buyers of new homes.
The next stage, to be brought in in January next year, will involve help for buyers of existing homes.
It will allow people to buy with just a 5% deposit.
The scheme is aimed at enabling more people to buy their homes.
The government will guarantee a proportion of the loan to give the banks greater confidence to lend.
Bubble fearsProperties of up to £600,000 will come under the plans, although foreign buyers with no history of property owning in the UK, buyers of second homes and buy-to-let landlords are, in theory, excluded - although there are no formal checks to prevent this.
The biggest lenders, including Lloyds, RBS, Barclays and Nationwide, are being called into Number 11 to be to told to get ready for the launch of the new scheme.
With them will be representatives of the main housebuilding firms - many of whom say that a boost to the housing market will have the knock-on effect of spurring them on to build more homes.
Last month, the housing industry said the housing scheme had got off to a "flying start".
But some housing experts have warned that the guarantee could create a new housing bubble.
The former governor of the Bank of England, Sir Mervyn King, said the scheme should not be extended.
For his part, the chancellor is expected to tell lenders to apply stringent testing to borrowers to check they can afford repayments - and prevent a surge of reckless lending.
Source: BBC News - Business http://www.bbc.co.uk/news/business-23412585#sa-ns_mchannel=rss&ns_source=PublicRSS20-sa
