First time buyer activity sees winter slowdown despite costs dipping
- First-time buyer numbers fell in December by 1,300 on a monthly basis (down 4.7%) as the traditional Christmas slowdown hit the UK property market
- But over the course of 2015, the longer-term outlook remains healthy for first time buyers, with numbers up by 1.1% between December 2014 and December 2015
- First-time buyers find cheaper homes, with smaller deposits, and secure more affordable mortgages
- The average mortgage rate remains at a rock-bottom level, with lenders buoyed by recent news that the Bank of England does not intend to raise interest rates for the foreseeable future
First-time buyer numbers fell by 1,300 between November and December as the traditional winter cooling hit the UK property market, according to the latest First-time Buyer Tracker from Reeds Rains.
The number of buyers taking their first step onto the ladder in the festive month stood at 26,600 – a fall of 4.7% on the previous month of November, when the figure totalled 27,900.
However, more significantly and over the course of 2015, first-time buyer activity has grown steadily, with volumes up by 1.1% – or 300 more first-time buyers per month – between December 2014 and December 2015.