Recent reports from LSL Property Services plc, parent company of local agent Reeds Rains, have shown that first-time buyer sales have grown 27 per cent in a year and it is the strongest opening half of the year since 2007.
The news complements Reeds Rains view that although activity at the higher price bands is showing signs of cooling off; the market of lower priced properties is still continuing to recover.
Confidence also appears to have been boosted following the introduction of the government’s Help to Buy scheme which has encouraged first time buyers to save for deposits which now appear to be more affordable.
Martin Archbold, branch manager for Reeds Rains in Waterlooville explains: ‘First-time buyers are clearly keen to make a move and are prepared to save for a deposit, encouraged by the fact that more high loan to value products are available.
‘The Bank of Mum and Dad is also helping which is something that may very well continue, particularly if interest rates begin to rise and mortgage repayments become more expensive as a result. For the first time buyer to reduce their monthly repayments, the backing of their parents will help them by allowing them to increase the size of their deposit.
‘The report also revealed that some of the more popular reasons for first time buyers to purchase a property are the desire to settle down (30 per cent of respondents) and the desire to own a home with their partner (28 per cent of respondents).
‘Locally we are definitely seeing lots of property coming to the market which are suitable for first-time buyers but more are needed to meet the obvious demand which local sellers should take advantage of.’
If you would like to find out how Reeds Rains can help you as a seller or buyer, call (023) 9225 4321.