Ray of light for first-time buyers

Research by the National Association of Estate Agents (NAEA) indicates that the first-time buyer market is slowly increasing, accounting for 11.8% of the market in June.

The trade body suggested that first-time buyers with adequate funds in place can operate as opportunists and take advantage of the market and the prices currently available.

The June percentage was an increase from May when first-time buyers accounted for 10.6% of the market and a growth from the same time a year ago when the figure was 9.8%.

The rise in sales shows that first-time buyers have regained some confidence and have realised that they can use the current market to their own advantage, providing they have the correct finances available.

Chris Brown, president of the NAEA, said: “It is clear from NAEA members that the last few months have been a difficult time for both the home buyer and seller. Consumer confidence is still low and this can be attributed to various economic factors including the continuing rising costs of living, the credit crunch and, of course, the shackles around the mortgage market.

“Confidence needs to be restored and this can be achieved if the Government, Bank of England, mortgage lenders and various other bodies work together to ease the pressure. We are continuing to call on the Government to cut Stamp Duty for first-time buyers and move the threshold to give people a break. In addition, the Bank of England needs to ensure the mortgage markets are steadier. If consumers continue to find it hard to obtain mortgages how can the market place expect to move forward?”