First-time buyers (FTB) are generating a lot of buzz across the UK following the Chancellor’s announcement to cut stamp duty on properties under £500k in an attempt to make it easier for people to get on the property ladder.
In keeping with this theme, new research from UK Finance highlights the statistics for FTBs in London over the past year ending in September.
Despite the rising prices in several areas of the UK, London’s market has stabilised and this year has seen 10,600 FTBs invest in properties costing more than £500,000 – also equating to one in four FTBs in the capital.
Since London’s prices have stalled, this proves that it is a good time to buy a home in the city. The number of FTB this past year is up 280% from five years ago when there were 2,800 FTBs across the capital.
As FTBs are migrating to urban centres, where prices tend to be higher than the countryside, only 3,800 FTBs have invested in properties costing below £250,000. This is a 81% drop from five years ago. However, the cities are where young people are finding jobs that ultimately lead to them getting on the ladder despite the much higher cost in doing so.