Homes could be becoming more affordable to those who do not yet own property, estate agents have said.
First time buyers have been given new hope of getting on the property ladder, the National Association of Estate Agents (NAEA) claimed today.
New figures from the body show that 11.8 percent of total home sales during June were to first time buyers: an increase of 1.2 percent over the previous month and two percent from the previous year. This upwards trend could signal that recent falls to house prices are letting more people in to the market.
However, this rise has also been checked by the credit crunch, which has led to risk-averse mortgage lenders becoming much less willing to loan money. As first time buyers tend to be younger, and therefore have lower incomes and fewer savings than other buyers, they have been particularly hit.
Chris Brown, NAEA president, commented: "For first time buyers who have the adequate funds in place and can secure mortgages, now is a time they can operate as opportunists and take advantage of the market and the properties and prices currently available."
He added: "However, it is clear from NAEA members that the last few months have been a difficult time for both the home buyer and seller. Consumer confidence is still low and this can be attributed to various economic factors including the continuing rising costs of living, the credit crunch and, of course, the shackles around the mortgage market."
According to house price surveys from Halifax and the Nationwide, the average UK property value stands at over six per cent lower than it did 12 months ago.
