Propertymark – First-time buyer sales hit seven-month high
While the number of sales agreed fell for the first time in four months, sales to first-time buyers increased to the highest level seen since February, according to the latest figures from NAEA Propertymark.
The number of sales made to first-time buyers increased to 30% in September, up from 22% in September 2018.
The data shows that the supply of available housing decreased in September while the number of prospective buyers fell by 11% and the number of sales agreed per member branch decreased for the first time since April.
Although the number of house hunters decreased in September, housing demand is up year-on-year, rising from 338 house hunters per branch in September 2018 to 387.
Mark Hayward, chief executive of NAEA Propertymark, commented: “Despite a fall in demand from house hunters, first-time buyers have continued to show resilience as they take advantage of favourable market conditions and drive their transactions forward. The recent mortgage data released from UK Finance shows the number of first-time buyer mortgage completions reached its highest monthly level in August 2019 since August 2007, further highlighting this trend.
“Low or no stamp duty on lower priced properties have proved to be a big reason behind this boost in the FTB market, however they could also be concerned that the market may turn against them if a Brexit deal is achieved and are buying now to avoid that scenario. Until we are clearer on what the future holds, it’s likely we’ll continue seeing the number of first-time buyer sales rising.”
Source: Financial Reporter