31 Mar

First time buyers resilient despite seasonal dip

Posted 31/03/2016 by: Reeds Rains Press Office

  • Numbers of completed first-time buyer transactions in February grew by 7% annually to reach 21,100
  • Underlying growth defies a seasonal dip which sees FTB numbers dip by 1.4% on a monthly basis
  • FTBs parry the February blip with solid combination of low mortgage rates and High LTV lending 
  • Costs holding steady, despite deposits now consuming almost three-quarters of average FTB income

Numbers of households purchasing their first home has grown by almost 7% annually, according to the latest First-Time Buyer Tracker from Reeds Rains.

The total monthly volume of first-time buyer transactions stands at 21,100, as of February, representing a rise of 6.6% on February 2015’s figure of 19,800.

The month also saw a slight seasonal dip, with the number of completed first-time buyer property transactions falling by 300 – or 1.4% – between January and February.

However, on a seasonally-adjusted basis, February’s figure is considerably higher at 25,900, just 500 below January 2016’s seasonally adjusted total of 26,400, and represents 100 more first time buyers than the seasonally adjusted average (25,800) for the period between January and December 2015.