I was very interested to read a report from the CML (Council of Mortgage Lenders) advising that there was increased activity in the first time buyer’s sector in November 2012. The CML advised that the number of loans taken out by first time buyers was 21,700, up 8% on October and up 24% on November, 2011. The CML advised that loans to first time buyers accounted for 41% of all house purchase loans.
As readers of previous blogs will know, for a free moving property market the number of first time buyers needs to be in excess of 40%. The CML figure certainly accords with the increased levels of activity that I saw at the tail-end of 2012. It will be interesting to see if these figures are sustained and my feeling is that they will be. I will continue to keep you advised of trends.
Lindsay Darroch Partner & Head of Property