First-time buyer numbers hit a 12-year high in 2018 as the increased availability of mortgages and the stamp duty tax break helped more young people on the housing ladder.
According to figures from UK Finance, there were 370,000 new first-time buyer mortgages completed in 2018, some 1.9 per cent more than in 2017. This is the highest number since 2006, when this figure stood at 402,800. The £62 billion of new lending in the year was 4.9 per cent more than in 2017.
There were 30,900 new first-time buyer mortgages completed in December 2018, a 1.6 per cent rise than in the same month a year earlier. The £5.2 billion of new lending in the month was 4 per cent more year-on-year.
Aaron Strutt, product director at Trinity Financial, says: “Many of the bigger lenders have made commitments to provide more mortgages to first-time buyers and they are providing cheap low deposit rates.
“Nationwide has set aside £10 billion to lend to first-time buyers and says it will prioritise them over other borrowers when it’s appropriate.”
Buy-to-let mortgages decline
There were 5,100 new buy-to-let home purchase mortgages completed in December 2018, some 5.6 per cent fewer than in the same month a year earlier. By value this was £0.7 billion of lending in the month, 12.5 per cent down year-on-year. In 2018, there were 66,400 new buy-to-let home purchases completed, some 11.5 per cent less than in 2017. The £9 billion of new lending in the year was 15 per cent less than in 2017.
Call Trinity Financial on 020 7016 0790 to secure a first-time buyer mortgage