Now that the election is over and we can all return to normal life, we thought that it was time for a good news story. It was reported that in September to November of 2019 that numbers of first time buyers were at their highest since the credit crunch in 2008.
This kind of market stimulation is good news in our books and we welcome anyone ambitious enough to get onto the property ladder.
As the leading independent estate agent in Virginia Water and the surrounding area, we don’t have a great number of properties suitable for first time buyers; however, the impact of such an injection is felt throughout the property market.
Market Recovering
This influx of new blood has made a positive impact on the wider market as the number of first time purchases completed on home loans in August was up by nearly a percentage point on the previous year.
There are numerous factors at work here, but we imagine that it is largely due to rising wages and record low interest rates; not to mention things like Stamp Duty breaks and the Government’s Help to Buy scheme which can provide up to 40% of the cost of a new home in the form of equity loans.
In fact, in the first two-thirds of 2019, 44% of all homes in London were bought by first time buyers!
Resilient Market
With much of the country’s focus on Brexit and predictions of doom and gloom, we have consistently seen the housing market buck the trend. Lenders have had to go the extra mile in order to attract first time buyers with competitive mortgages at high loan-to-values as well as new innovative family-lending products.
This willingness to lend along with properties being priced competitively has meant that more first time buyers are able to take advantage of this buyers’ market and get on the ladder.
This kind of market stimulation is fantastic news for the entire ladder. With more home owners, we see people moving; buying and selling more appropriate properties; upsizing, downsizing and rightsizing has been an issue for many transactions over the last three years.
Local Impact
Here at Barton Wyatt, we specialise in property for sale in Virginia Water, property to let in Virginia Water and the surrounding areas. These don’t tend to be particularly popular with first time buyers, but the influx of new home owners to the market has a knock-on effect which can affect more established home buyers and vendors.
Get in Touch
If you are thinking of moving into the area or selling your property and would like to speak to someone about your property options, a member of our expert team would be happy to help. You can call us on 01344 843000 or email us; you can also follow us on Facebook, Twitter, Instagram and LinkedIn.
