Halifax have also released very interesting figures concerning buying over renting a home. Their latest survey reveals that low mortgage rates mean that it’s cheaper to buy a new home than to rent.
The study reveals that paying a mortgage is more than £100 a month cheaper than renting. The monthly cost of buying a three bedroom house is more than £100 cheaper per month, the average price of buying three bedroom house in the UK in December was £600, against an average rental cost of £716.00 per month for the same sized property.
Halifax’s research shows a major change in the cost of renting compared to buying. In 2009 owning a home cost over 29% more than renting.
However buying a new home for most first time buyers is still very difficult, as large deposits are difficult to find, which has kept the rental market strong.
Martin Ellis, housing economist at Halifax, said: 'The affordability gains for buyers relative to renters in the last three years have been significant. The average mortgage payment has fallen dramatically over recent years as a result of falling house prices and mortgage rates. At the same time, rents have risen due to strong demand for rented accommodation.
There are so many different mortgages to choose from, but if you would like some independent straight talk advice please contact your local branch of Intercounty, and one of our expert mortgage advisors will be able to help.