Since the Autumn statement there has been a boost in home lending in the UK, mortgage lending has increased by 1.3% from 69,630 in October to 70,511 in November according to the latest mortgage monitor from e.surv, the largest firm of surveyors in the UK.
Despite the increase in mortgage approvals first-time buyers are still not benefiting from the changes as much as other buyers in the market place. Lending to small-deposit borrowers – that’s buyers with 15% or less of the total property value was just 11,493 in November compared to 11,489 in October. More bad news is that small-deposit borrowers are falling in the overall property market, now accounting for just 16.3% of approvals granted, down from 16.5% in October.
Northern Ireland and the North West are the best areas for first-time buyers.
At the same time new figures from the E&W House Price Index revealed that house prices in England and Wales have increased by £16,446 annually, to £290,640, which is a 6% increase compared to November last year. However the monthly rate of house price increases fell to 0.6%, slower than the figure of 0.9% in October.
South East price increases have overtaken East Anglia, this part of the country now has the fastest growth in house prices, while London now drops to fourth place.
Despite the fact that home sales fell by 15% in November, with completed sales still behind the 3.4%, recent changes to stamp duty concerning second home buyers and landlords are expected to cause a late winter surge.
If you are looking at buying a home before increased in stamp duty next year on all investment properties then why not pop into your local branch of Intercounty or give our call a team on 0330 159801.