Without doubt, first time buyers are key to a healthy property market. Deals made on smaller 1 and 2 bedroom properties tend to have a positive impact across the market, as hard-pressed second steppers get the chance to move on and growing families look to maximize space. This is why it is good news to hear that first-time buyers in the UK now account for almost half of all homes purchased with a mortgage – a rise of 38% since 2011.
The study that revealed these figures – by Halifax – shows that the average deposit paid by these buyers has also risen, to £29,894. This reflects a general increase in property prices over the last few years – as ever the figures are slightly skewed by expensive property prices in London.
There were an estimated 139,500 first time buyers during the first six months of this year. Halifax mortgages director Craig Mckinlay said:
“there are now signs of a pick-up in mortgage activity as the economy continues to recover and mortgage interest rates remain at very low levels. These factors could boost the number of first-time buyers during the second half of the year.”
An independent expert at Moneyfacts.co.uk added that:
“The boost in numbers and the lower rates suggest that lenders are finally recognising the importance of first-time buyers, who have often been considered the life-blood of the housing market.”
Blair Cadell have many years of experience helping first time buyers onto the Edinburgh property ladder. Our solicitors and estate agents take care of your property transaction from start to finish, communicating with you every step of the way. Not sure about your mortgage arrangements? Our in house IFA can look at your finances and measure you up for a suitable mortgage.
Blair Cadell are a leading firm of Edinburgh solicitors, dealing in a wide range of property, business, tax and personal legal services.
image by Unlisted Sightings used under Creative Commons license