Ten-year high for first-time buyers
Many would argue it’s been a long time coming, especially those who desperately want to own their own home and get on the housing ladder. But, despite the average deposit for a home being double the size of ten years ago, last year saw the number of first-time buyers hit the highest level in a decade.
The figures from UK Finance, the trade body for Britain’s banks show a total of 365,000 buyers took ownership of their first home in 2017, an increase of 7.4% compared to 2016 and the highest number since 2006.
Strategies of support
So, what’s made the difference to help propel the increase?
Property experts say the Government’s Help to Buy scheme alongside lower deposits and cheaper mortgage deals have certainly been factors. These and the cuts to Stamp Duty in the November budget at the back end of 2017 have all helped families save for a deposit and get a foot on the property ladder. The success of the Help to Buy scheme specifically has seen the Government pledge a further £10bn investment into it, a boost that started in October 2017 and will last through to 2021.
Property availability
Having homes available to buy is crucial to keeping first-time buyers in the market. Figures over the last few months have seen house prices rising slower across many areas of the country, another piece of good news for first-time buyers. Meanwhile the Government are determined to achieve their housebuilding drive, making reforms to planning legislation and pushing ahead to hit their ambitious target to build 300,000 new homes a year. With more homes being built, comes more opportunities for first-time buyers.
2018 – the year of the first-time buyer
The initiatives are underway, the targets have been set and the houses are being built. While we’re already a quarter of the way into the year, it’s clear to see 2018 is looking positive for first-time buyers. Yes, house prices are higher than ever before, but never has there been so much support to help get first-time buyers onto the property ladder.
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