First Time Buyer Numbers 'On The Increase'

By Peter Wakeford
Published on 22 Jul 2008
AddThis Social Bookmark Button
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.
 

Compare mortgages via money.co.uk

[Back to top of article]
First Time Buyer Numbers 'On The Increase'

Add Your Comment

Name: 
Comment: 
You have 1000 characters left.

Latest Mortgages Articles & News

Mortgages Articles

South West England 'A Repossessions Hotspot'
South West England 'A Repossessions Hotspot'

Residents of Devon and Cornwall have been left particularly exposed in the housing downturn, due to the influx of second home buyers previously pushing prices up.

Equity Release 'Suffering in Crunch'
Equity Release 'Suffering in Crunch'

The sector is facing a slowdown, according to Bank of England figures.

Salmond Calls on Lloyds to Protect Scottish Jobs
Salmond Calls on Lloyds to Protect Scottish Jobs

The takeover of HBOS puts many bank employees north of the border at risk.

House to Vote on New Rescue Plan
House to Vote on New Rescue Plan

Credit markets continue to freeze up prior to the US lawmakers' vote - meaning that mortgage rates are likely to rise sharply.

House Prices 'Fall 12.4% in a Year'
House Prices 'Fall 12.4% in a Year'

The Nationwide index marked its 11th monthly decline in a row - developments economist Fionnuala Earley described as "astonishing".

Fears Increase over HBOS Takeover
Fears Increase over HBOS Takeover

HBOS shares continue to lose value, with the markets apparently expecting the takeover deal to be amended.

SAMs Holders Plan Test Case
SAMs Holders Plan Test Case

The customers are being asked to pay £5,000 each to fund the legal action.

Mortgage Lending 'Drops 95% in a Month'
Mortgage Lending 'Drops 95% in a Month'

A 97 percent year on year drop was also registered by the "dire" new Bank of England figures.

Popular Related Articles

Saver Fears Over Icelandic Banks
Icesave Suspend Access to UK Customers' Savings AccountsIcesave is no longer allowing customers to withdraw funds - as ministers in Reykjavic, Iceland, rush to shore up the nation's financial services system.

Latest Related Headlines

A&L Fined £7m For PPI Mistakes
A&L Fined £7m For PPI MistakesThe bank is likely to have mis-sold the insurance to customers, according to the FSA.

Other Money Headlines

Overweight Pets 'Costing Owners Dear'
Overweight Pets 'Costing Owners Dear'Forget the banking crisis, another type of fat cat could soon be putting your personal finances under strain.
RSS FeedMortgages News
RSS FeedLatest Headlines
Free Services Weekly Money Email
The Week's Biggest Money News and Money Saving Tips sent directly to your inbox...
Enter your email:
Find Companies Mortgages Guide RSS Feeds - Subscribe!
Site Map | Privacy Policy | About Us | Contact Us
money.co.uk is a trading name of Dot Zinc Limited, who are authorised and regulated by the Financial Services Authority. FSA Registration Number: 415689.
Copyright © www.money.co.uk / Dot Zinc Limited 2002-2008. All rights reserved.
Home | Login | Sign Up