Are first time buyers returning to the UK property market?
While yesterday's figures from the Council of Mortgage Lenders (CML) appeared to show an increase in approved mortgages from March there was little indication of a significant increase in first-time buyer activity. However, today we have seen more details revealed with confirmation that first-time buyers in March 2009 accounted for over 40% of mortgage approvals which is the highest proportion since April 2005. So are first-time buyers returning to the UK property market?
One the face of it there appears to be evidence that first-time buyers are returning to the market but it is worthwhile remembering that like-for-like mortgage approvals are down more than 20% over the last 12 months. As a consequence, the increase in first buyer activity in March was on substantially lower business levels although it is an interesting indication of the state of the market.
As we covered on one of our post yesterday, many first-time buyers are expected to be able to fund a deposit of 25% or more before they can even begin to discuss a mortgage for a UK property. Even though we have seen a jump in first-time buyer interest in March there are concerns that the level of business will remain relatively low until deposit figures begin to fall, which may be a disappointment for some.
Share this..
Related stories
Student loans slated by credit charity
Credit Action has said that students are too willing to take on debt and that student loans just perpetuate the problem.Despite the fact that Credit Action believes that paying the loan back does not take much of a toll on graduates financially, it could affect career prospects and effectively teaches young people that debt is acceptable.Chris Tapp, associate director of Credit Action, said: "What...
Read MoreSterling hovers at historic low against the euro
In what many believe will form the basis of the future push for Britain to join the euro, the divergence in the currencies has never been more evident than today. The 1% reduction in Bank of England base rates has seen sterling come under serious pressure and fall to near record lows against the euro in particular. So what next for the embattled UK currency?
The problem with the UK...
Is it time to install a water meter?
Even though water meters have become more and more popular with the water companies over the last few years, there has been a general feeling that it is not in the best interests of customers to install such devices. However, do you really know how much water you use in your home and what it is costing you?
The next few years will see a variety of green taxes introduced to the UK co...
Barclays bank under pressure regarding Middle East fundraising
Slowly but surely the details of the £7 billion fund raising which Barclays carried out in the Middle East are starting to trickle into the market. It now turns out that the effective interest rate on the fundraising is a massive 13% compared to much more competitive terms on offer from the UK government. The fundraising is not complete yet and will require the authority of shareholders who are s...
Read MoreIs the coalition playing games regarding budget cuts?
Over the last few days we have seen some very negative press comment regarding alleged agreements in relation to budget cuts with areas such as the Ministry of Defence very prominent. However, there is a growing feeling amid new rumours from Parliament that the UK government is looking to cast a very dark shadow on the forthcoming spending review only to "pull rabbits out of a hat" at the final mo...
Read More