First-time buyers continue to account for a significant proportion of home-buyers in London with 9,800 mortgage applications being approved during the first three months of 2018.
Though the total number of approvals is 3 per cent less during the first quarter of 2018 when compared to the corresponding period in 2017, the total lending amount (£2.8bn) remained the same, according to data released by UK Finance.
The average age of the first-time buyer in the UK capital is 31 years and has a gross household income of £66,000. The average loan size of the first-time home-buyer is £262,242, the UK Finance Regulated Mortgage Survey noted.
The first-time buyer activity was strong in 2017 and 2016. The year 2018 began on a positive note and by year-end, the number of mortgage approvals for first-time buyers is likely to match that of 2017 in view of various incentives offered to them, such as stamp duty relief on homes priced up to £500,000.
UK Finance is a trade association, which represents the finance and banking industry operating in the UK. It represents around 300 firms in the UK providing credit, banking, markets and payment-related services. The data provided by it reflects the developments in the mortgage industry.
The market for first-time buyers and homemovers was subdued at the start of 2018, compared to the strong growth seen for the last few years, however affordability has improved slightly, which is good news for those home-buyers transacting