The number of first-time house buyers in the UK has reached a record level in the first six months of the year – 175,500 – as demand continues to outpace supply. This number is likely to grow, as more working professionals aspire to buy their first home.
According to the latest Halifax First-Time Buyer Review, the number of first-time buyers increased by around 3 per cent in the first six months of 2018 to 175,500 compared with 171,200 in the same period in 2017. This is the sixth increase over a comparable period in the last seven years and the third consecutive year that first-time buyer numbers have topped 150,000.
The number of first-time buyers has more than doubled since dropping to a record low of 72,700 in the first half of 2009, and is now just 8 per cent lower than at the peak of the last boom in 2006 (190,900). A resilient job market, growing employment opportunities and stable income are prompting more people to plan for their first home.
The growth in first-time buyers means they have increased as a proportion of all mortgage financed house purchasers from 38 per cent in 2008 to more than half (51 per cent) in 2018. This share has picked since 2013 when the Help to Buy Scheme was introduced, which has given 128,317 first-time buyers a step on to the housing ladder over this period.
Taking into consideration the growing demand for quality homes from first-time buyers, Strawberry Star will launch a residential-led mixed use development in Luton shortly. As London’s top commuter belt town, the development LU2ON is ideally located – just 23 minutes by rail to King’s Cross St. Pancras Station. More than 650 first-time buyer homes will be available at Luton over the next 2-3 years.
The average age of a first-time buyer in 2018 is 31 – two years older than a decade ago. In London it has grown from 31 to 33 since 2008 – the oldest in the UK: Lloyds Bank