First time buyer numbers rise by almost a quarter in 2015 as costs fall
- November sees 31,300 first-time buyer completions – up 23.7% annually and the most since August 2007
- Average FTB purchase prices drop 4.7% since November 2014 – the first annual fall since March 2013
- Deposit costs fall 4.2% annually to £24,598, with the proportion of FTB income they consume also sinking
- However, as average first time buyer mortgage rates inch up, 2016 threatens a Bank of England rate rise
The number of completed first-time buyer transactions has climbed to 31,300 in November, according to the latest First-time Buyer Tracker from Reeds Rains.
The figure represents an annual increase of 23.7% – or 6,000 additional transactions – compared to November 2014, when the total number of first-time buyer sales stood at 25,300. November 2015’s monthly transactions figure is also the highest since August 2007 – before the economic downturn began – when the number of completed transactions for first-time buyers previously stood at 35,300.
November 2015 also saw first-time buyer transaction figures perform strongly on a three-month and monthly basis. Between August and November the number of people successfully taking their first step onto the property ladder grew by 17.2% – or 4,600. Similarly, the number of completed transactions in November rose by 4.7% month-on-month, representing 1,400 more first-time buyers than the previous month.