The average first time buyer property price is now £152,593, up 6.1% annually and 3.2% on month with average UK property price also up 11.5% annually to £191,343.
While new property supply was down 1.7% on the month, first time buyer registrations increased 82.9% annually in London and 74.3% across the rest of the UK.
For the first time since April last year, the average age of a first time buyer has decreased to 31.9 years – under 32 for the first time since April 2012. The value of a first time buyer's average mortgage secured is up 5.5% on last year.
Paul Smith, CEO of haart, comments:
“October was an unprecedented month for us with the volume of buyer enquiries up a staggering 92% in the first week of October compared to the same week in 2012. However, we are currently seeing only around 35% of our valuations coming to market, when previously this was around 50%. Our message to potential sellers is sell, sell, sell as we just can’t get enough stock. Demand for first homes, in particular, is overwhelming and the supply is still extremely limited which is why the average price of such properties is up 6.1% annually. There is no doubt that the catalyst for this was the advanced launch of Help to Buy’s second phase – first time buyers are now not only getting mortgages but also getting younger – now just under 32 years old!
"Any second steppers, who provide the majority of homes for first time buyers, selling now are finding that their properties are snapped up quickly and at a very good price – our message is to act now and not wait for the New Year. The first time buyer comeback is definitely not abating and this is the message that sellers need to hear to oil the market sooner rather than later and to keep a lid on rising prices.”
