Who has it harder in the property market?
- Author: David Crosby
- Posted on: 6th November 2014
- Posted in: Blog
This article in the Telegraph, which looks at whether first-time buyers or second-steppers have it harder, will certain divide opinion between those who want to get on the property ladder for the first time and those who are already on it. Our assessment at Crosby & Woods is that neither group has it easy for differing reasons but on balance once on the ladder, and assuming you take a long term view on growth and price increases, then it is the first time buyer who probably faces the greatest obstacles.
However, if you look at the figures, with the majority of mortgage offers now requiring between 5 and 25% as a deposit, and with 5% deals being far less common than 25% ones, then this means a first time buyer, especially in somewhere like Brighton & Hove where on average a 1 bed flat is £200,000 and a 2 bed flat £250,000, would need to find up to approximately £50,000 for a deposit. Without a very highly paid job, large savings accrued over many years or access to the 'Bank of Mum and Dad' (or last but not least a lottery win!) this level of deposit is prohibitive and so those that are able to find a way to get on the ladder should be supported as much as possible.
At Crosby & Woods we act for many first time buyers so bring a wealth of experience as well as an understanding and supportive approach to helping you with your first purchase. To discuss your property needs and to also obtain a no obligation fixed fee and very competitive quotation for any sale, purchase or remortgage, please call us on 01273 734 600 or email email@example.com
David Crosby, Partner, Crosby & Woods