According to a new report by Halifax first time buyers in the UK have nearly sprung back to pre-crises levels in the first half of 2017, only 15% below the peak of 2006.1
The latest Halifax First Time Buyer Review also stated that the average first time buyer price now stands at £207,693, rising to £410,000 for London the highest on record.1
In 2007 first time buyers who financed a property by a mortgage stood at 36% where as in 2017 it is estimated that 47% all house purchases are made by, an increase of 3% since the launch of the Help to Buy scheme in 2013.1
On average those putting down a deposit for a mortgage will need to find £33,000. Compared to London where the average first time buyer will spend around £106,557 on a deposit.2
The report also found that the lowest deposit needed where on average in Northern Ireland and Scotland at £16,457 and £21,565 consecutively, and £17,193 in Wales. 2
The flow of new first time buyers is due to Government schemes such as Help to Buy and historically low mortgage rates.2
Martin Ellis, a housing economist at Halifax, told the Independent that for the third time in four years the numbers getting on the housing ladder in the first half of the year have exceeded 150,000 – “a level of momentum not seen since before the financial crisis”.
He continued: “High levels of employment, low mortgage rates and government schemes such as Help to Buy have also helped these numbers remain robust, as first-time buyers continue to form a fundamental part of the UK housing market.” 2
If you are a first time buyer aspiring to buy your first home why not pop into Finch & Co to discuss your options.
- 03/07/17 http://www.propertywire.com/news/uk/average-price-paid-first-time-buyer-uk-reaches-new-record/
- 30.06.17 http://www.independent.co.uk/news/business/news/first-time-buyers-uk-homes-deposit-average-33000-housing-market-report-mortgage-a7816321.html