The number of purchases by first time home buyers in the UK increased last month by 9 percent compared to the figures last August. This is according to the data gathered from the National Association of Estate Agents.
Buyers who are taking their first step in the property ladder accounted for at least 29 percent of all the sales that were recorded compared to only 29 percent last August. The figure is said to be the highest since May of this year when the sales in the group also made a total of 29 percent of the entire sales. It has been very encouraging to see that the number of sales attributed to first time buyers have improved this September. The managing director of NAEA said that they were able to see an average of nine sales per branch. This means that in every branch, around three sales were made in the group. The property sector is seeing a new range of competitive mortgage products that will arrive in the market and which is likely to be very encouraging as first steppers making a plunge in the industry. The impending increase in the interest rate has now been pushed back to next year.
Experts say that in order to ensure that there will continue to be very affordable houses sold in the market; the issue of supply and demand has to be addressed largely. Until there will be a substantial amount of new houses build on lands, the first time buyers cannot successfully reach the bottom rung of the ladder. The monthly report of NAEA showed that there the number of house hunters or estate agents dropped in September after a period of high and unsustainable demand experienced in the previous months.
On the average, there were about 342 prospective buyers who were registers at NAEA member branch last month. This figure is a drop of about 16 percent from 408 last August.
The positive news of the increase of first time home buyers generates a positive ripple effect to other businesses or segments closely linked with the property industry. Companies like Crisp Contracts Limited will also be benefited with this improvement in the industry.