First-time buyer boom: Numbers rocket 92% in 10 years
The number of first-time buyers reached 372,000 in 2018, said Halifax, accounting for the majority of home purchases for the first time since 1995.
And although the number of first-timers has only crept up 2% in the last 12 months, this continues a seven-year long upward trend.
In fact, over the last decade, first-time buyer numbers overall have increased by 92% from an all-time low of 192,300 in 2008.
Taking over the market
First-time buyers now account for just over 50% of all house purchases with a mortgage, an increase from 38% a decade ago.
Halifax also revealed that the average price paid for a typical first home has gone up by 39%, from £153,030 in 2008, to £212,473 in 2018.
The average deposit has increased by 57% from £21,133 to £33,252 over the same period, accounting for around 15% of the purchase price.
However, those buying their first property in London are having to find an astonishing £110,656, while first-timers in Wales pay the lowest average deposit of £16,449.
The average age of a first-time buyer in 2018 has remained at 31 – two years older than a decade ago.
Russell Galley, managing director of Halifax, said: “New buyers coming on to the ladder are vital for the overall wellbeing of the UK housing market, and the continued growth in first-time buyers shows healthy movement in this important area – despite a shortage of homes and the ongoing challenge of raising a deposit.
“Last year was the first year that first-time buyers accounted for the majority of the market since 1995, which shows that the factors reducing some of the associated costs – such as continued low mortgage rates and Stamp Duty – are supporting the increasing number of people taking their first step on to the property ladder.”