Budget 2013: Government in confusion over state aid for mortgages He said buyers would have to sign a legal declaration saying they would live the property as a main home. "I think Ed Balls is claiming that somehow you can get a loan on the help to buy scheme for your second home - lets be clear, that's not the case," he said. As for the current schemes you would first have to divest your existing property, prior to being able to proceed with any help to buy a sale. This is about family homes, it is not about second homes. Effectively what you have to do is make a legal declaration through your solicitor. So I think that is the right thing to do. But we shouldn't lose sight of the fact that an awful lot of families who are stuck will be helped by this. Allowing second homes could potentially squeeze out struggling first time buyers from the housing market if current home owners are getting Government help to buy holiday homes or city crash pads. The Treasury this morning confirmed that the idea of state-backed mortgages for second homes is still under consultation as the issue is complex. A spokesman: "The intention of this policy is very clear: to help people get a home or get a bigger home for their family. But this is a very technical area - for example would you define a parent underwriting a mortgage for a child to help them get their first home a second home? We have said that we are going to consult in order to get this right, instead of rushing into decisions or knee jerk reactions. There is a separate issue of buy to let mortgages, which we have always made clear are excluded. Labour attacked the move, accusing the Government of giving providing "subsidised mortgages for millionaires." Ed Balls, the Shadow Chancellor, said: "Not only is George Osborne pressing ahead with a tax cut for millionaires it now seems that his mortgage scheme will help people, no matter how high their income, to buy a subsidised second home worth up to £600,000." He added: "Is the Government really going to give millionaires a tax cut averaging £100,000 and then give them a taxpayer guarantee if they use that money as a deposit on a house - a second home or even a home to buy to let? Not just tax cuts for millionaires but subsidised mortgages for millionaires. Surely people struggling to get a mortgage and those who want to own their first home must be the priority for help, not the small number who can afford to buy a second one.