Getting on the property ladder is a big milestone in life, and is not something to take lightly. There are several things to take into consideration such as saving up for a deposit, finding your dream home, and finding the best first time mortgage product to suit you.
Average age of becoming a homeowner
According to Finder (January 2024), the average age of a first time buyer in the UK is 34 years old. This is up from 32 years old in 2021, and from 30 in 2007. It is believed that the reason for the increase in age is down to the banking crisis in 2007 and 2008, and stricter mortgage lending criteria, as well as rising house prices.
Average house price for a first time buyer
The average UK house price for a first time buyer was £302,010 in 2021 which was up 13% from £268,031 in 2021. Of course, we know house prices vary across UK regions, with London having the steepest average price of £518.900. Northern Ireland’s lowest average house price for first time buyers was £171,425.
The average house prices for first time buyer in 2022 by region from most expensive to least:
London |
£518,900 |
South East |
£362,730 |
East of England |
£336,710 |
UK average |
£302,010 |
South West |
£281,167 |
East Midlands |
£238,208 |
West Midlands |
£235,108 |
North West |
£212,604 |
Yorkshire & The Humber |
£202,154 |
Wales |
£199,359 |
Scotland |
£189,428 |
North East |
£175, 091 |
Northern Ireland |
£171,425 |
Average deposit saved by first time buyers in the UK
In 2022, the average deposit for UK first time buyers was 21%, those living in London save the largest deposit at 24%, and the North East put down the smallest deposit at 17% of the overall price of the property.
What do buyers want from their property?
Research from Finder showed the top three most important features they wanted their new home to have been:
1) Outside space – 33% of the UK classed this as the most desirable feature
2) Size of the house – in second place, 28% of those asked felt the size was important
3) Space for parking – 24% wanted to ensure the property had adequate parking.
If you are a buyer looking to purchase your first property, get in touch with the team at Mortgage Required who can guide you through the process, call 01628 507477 or email team@mortgagerequired.com.
Source: Finder (January 2024).
The chancellor will deliver her second budget this autumn. Due to slow economic growth and high inflation, the government need to manage a £40 billion shortfall in public finances. There have already been reports about changes to taxes including income tax and capital gains tax.
3 days ago
The chancellor has advised that landlords could have another tax to pay this autumn as the Treasury decide whether to extend national insurance contributions to rental income.
According to a report in the Guardian, senior ministers have asked Treasury officials to look into a “proportional” property tax to see how it would work as an alternative to the existing stamp duty land tax on owner-occupied homes.
More than a quarter of UK adults in long-term relationships (26%) have reported that despite living together, they keep their finances separate from one another.
There has been a rise in both rent and mortgage costs over the last three years, with renters seeing a greater increase in their monthly payments than those with a mortgaged property.
26 days ago
The new Delayed Start Mortgage launched by Skipton Building Society allows first time buyers to postpone the first three mortgage payments. This product has been designed to help soften the blow of moving in costs for first time buyers.
28 days ago
Mortgage lenders are starting to recognise their “Green” responsibilities when it comes to the different products they offer.
A recent study by Boon Brokers where 1,000 people who had used an estate agent over the last year were surveyed, showed that a whopping 52% said they were pressured into using the estate agents’ in-house mortgage broker.