Are first-time buyers deserting the UK property market?
Figures released by the National Association of Estate Agents show there has been a significant reduction in the number of first-time buyers involved in the UK property market over the last six months. Just six months ago, 43% of all registered purchases were on behalf of those looking for their first home while last month this figure fell to just 19%. The figure of 19% matches the record low reached in December 2008 and has set alarm bells ringing within the sector.
One problem which may have assisted the sudden drop-off in first-time buyer numbers is the fact that the stamp duty exemption scheme is ending very soon. However, there is also a general knowledge within the marketplace that mortgage companies are withholding liquidity from the first-time buyer arena by increasing deposit requirements at a time when money is tight for many people.
Whether we will see a rebound in first-time buyer numbers in the first quarter of 2010 is debatable but we need to see first-time buyers join the party before any significant recovery in the property sector can occur. While 2009 has been one of the more difficult years in the history of the UK property market there is still some confusion and concern about 2010 and whether we could see a short-term drop-off in property prices.
Share this..
Related stories
Improving the attractions of your home with a lick of paint
Even in the current downbeat property market if you're looking to sell your home you need to ensure that it stands out from the rest and offers good value for money. While surveys and the like will show any potential structural damage or issues in this area it is well-known that the vast majority people will fall in love with their future home simply by looking around.
As a conseque...
London house price growth 'stalling'
House price growth in the UK capital is showing signs of slowing down, according to property website Rightmove.The monthly increase in London property asking prices from May to June reached only 0.7 per cent to £387,898. Annual growth in London now stands at 23.1 per cent.Rightmove says this is lower than growth rates achieved in many other parts of the UK included the north and south-west of Eng...
Read MoreLondon business property market booming
Shaftesbury Group, the prominent UK property operation, last week revealed business in the West End of London was especially brisk over the Christmas and New Year period. The company has announced a significant increase in new tenant agreements approved at rates at or above recent property values for the company's various assets. So what does this mean for the UK property market in general? As...
Read MoreWhat are the options with negative equity?
As more and more people in the UK face of the problems of negative equity, many are now looking around to see exactly what their options are. Unfortunately, for those looking to downgrade their properties and therefore crystallise their position before it gets any worse, the market in the UK is still very much subdued. Remortgaging at this moment in time is also not an option for many in the UK wi...
Read MoreGreen home credentials 'put on standby'
The spread of integrated home entertainment systems will hinder efforts to cut energy consumption in Britain, a new report says.The Energy Saving Trust (EST) believes the proliferation of devices like set-top boxes, laptops, DAB radios and plasma televisions will account for an enormous 45 per cent of all electricity used in UK homes by 2020.Such an expansion will put pressure on efforts to tackle...
Read More