This problem is exacerbated by rising property prices ??? on average 17 per cent higher than this time last year.??In addition, David Bitner, mortgage technical manager at the MarketPlace at Bradford &??Bingley, says that in many areas there is a shortage of homes suitable for first-timers.A lot of one- and two-bedroom properties have been swallowed up by people buying to let over the last few years.
These are unlikely to come back on to the market in the near sydney seo company future, so not only is it difficult??for first-time buyers to find somewhere suitable, but the property shortage has also pushed up prices.??The latest Halifax house- price index reveals that the average price in London is ??179,555, and that other areas arent far behind.??There are a few lenders, among them Standard Life and Intelligent Finance, that calculate??the sum they will lend according to your ability to repay rather than your salary.
One thing first-time buyers have in their favour at the moment is low interest rates, which means they can afford to take out larger loans. Rates are expected to start rising again towards the end of the year,??so it is vital you can still meet the repayments should your mortgage increase.??Many of those wanting to buy for the first time are trapped in a vicious circle ??? still repaying??student debts and paying large sums in rent, making it virtually impossible to save up a deposit.
There are 100 per cent mortgages, but if you can scrape a deposit together you will get more favourable terms and have a wider choice of lender.??This loan is MIG free and geared towards young professionals trying to get on to the housing ladder??who may not be earning high salaries but whose income is guaranteed to increase in the future.