First-time buyer income to buy hits 54,000 according to Hometrack – industry comment

Director of Benham and Reeves, Marc von Grundherr, commented:

 

“City living has always carried a price premium and so the lack of appropriate income for first-time buyers in the UK’s most expensive cities is no new trend.

 

While this affordability gap may be growing, it is only a contributing fact in the recent price decline seen in London in particular. In fact, first-time buyers are one segment that has been largely undeterred by Brexit due to lower asking prices and their desire to get on the ladder at whatever cost, spurred by the continued affordability of mortgage products.

 

It is the lack of activity in the more meaningful areas of the market as a result of investor trepidation over Brexit that causing a much more notable impact to the rate of growth across the UK’s less affordable cities.

 

This is a temporary influence and while wage to property price ratio will remain an issue as it always has done, once the market breaks the shackles of political angst, prices growth will start to accelerate despite the larger price tags in the likes of the capital.”

 

Founder and CEO of Springbok Properties, Shepherd Ncube, commented:

 

“The financial barrier for first-time buyers will always be the hardest to overcome but while stricter mortgage regulations may be restricting buying power in the least affordable locations, they have been implemented for good reason.

 

However, you have to feel for those in London and the South East in particular, as city living is supposed to provide you with the additional income to stomach the higher cost of living in these urban hubs. But while house prices remain way out of reach for the majority, the wages available are barely adequate to cover the cost of renting, let alone buying.

 

Current market conditions remain delicate at present but the continued strength across the more affordable regional cities such as Liverpool, Belfast and Nottingham demonstrates the underlying resilience of the UK market.”

Properganda PR

National and local media coverage for property businesses. Journo quotes delivered in minutes.

You May Also Enjoy

Damaged timber from Dry Rot
Estate Agent Talk

Mould and damp – what you need to know ahead of winter

With the winter months just round the corner, problems with damp and mould can become far more prominent. Autumntime is when many people turn on central heating systems and choose to close windows, preventing fresh air ventilation needed to allow damp air to leave a property. Unfortunately, the combination of warm and damp air can…
Read More
Breaking News

Rental price and average salary tracker – September 2025

London and South East see biggest dips in required rental salary year-on-year London and the South East saw the sharpest dips year-on-year in the average salary needed in order to rent the average home in that area. London saw a 4.2% drop, whilst the South East saw a decline of 2.9%. Yorkshire and Humberside saw…
Read More
buying at auction uk
Breaking News

The cities where buying beats renting – with just a 5% deposit

British first-time buyer mortgage payments are typically 17% cheaper than renting, even with a low 5% deposit The average 5% deposit is £11,412 based on a typical first-time buyer property price of £228,233 Among major cities outside London, the biggest gap between owning and renting is in Glasgow, where buyers could save more than £4,750…
Read More
Rightmove logo
Breaking News

Rightmove’s Weekly Mortgage Rates Tracker

Average rates for 2-year and 5-year fixed-rate mortgages   Term Average rate Weekly change Yearly change 2-year fixed 4.51% +0.00% -0.37% 5-year fixed 4.55% +0.01% +0.01%   Lowest rates for 2-year and 5-year fixed-rate mortgages   Term Lowest rate Weekly change Yearly change 2-year fixed 3.77% +0.05% -0.07% 5-year fixed 3.97% +0.10% +0.29%   Average…
Read More
Rightmove logo
Breaking News

Data and commentary from Rightmove on stamp duty reforms

Colleen Babcock, Rightmove’s property expert said: “We’ve been calling for stamp duty reform for some time now, as it’s a significant barrier for many people moving home. Abolishing it completely would remove one of the biggest barriers to moving, unlocking more moves at all stages of the property ladder. “Our data shows that only 5%…
Read More
Breaking News

Second-time buyers dominate demand for longer term fixed mortgage deals

Second-time buyers are dominating demand for longer term fixed mortgage deals, fresh data from Moneyfacts Analyser can reveal. Of those looking for fixed term deals on moneyfactscompare.co.uk: Almost two-thirds (58%) of second-time buyers who compared mortgage deals using the moneyfactscompare.co.uk website were considering terms of three years or longer in the 30 days to 1…
Read More