The number of first-time buyers rose by almost a fifth last year, according to data from Halifax. The bank said 2024 saw 341,068 people buy their first properties, up by 19% from 2023. While the figures are a rebound from 2023's 22% drop, they are not as high as they were in 2022. That year saw 367,870 first-time buyers recorded. Amanda Bryden, head of mortgages at the bank, said the rise "likely reflects an improvement in mortgage affordability as interest rates eased and stabilised, providing more certainty for those stepping on to the ladder".
Earlier this month, the Bank of England cut interest rates to 4.5% - a drop of another quarter percentage point for the third period in a row. Be the first to get Breaking News. Install the Sky News app for free. Halifax said that on average, first-time buyers are 33 years old - two years older than they were a decade ago - and that the average deposit paid was £61,090 for a home typically valued at £311,034.
More than 100 new towns being considered by ministers. Angela Rayner insists 1.5m housing target can be met as extra £350m pledged for affordable homes. Digitising house-buying process considered as a way to speed up transactions. The bank also said that people stepping on to the property ladder accounted for more than half of all home purchases made with a mortgage last year, at 54%. Ms Bryden added that "many are still teaming up to make the numbers work, with most buying homes jointly", which "makes sense" given the average deposit and house price.
She said these prices "can be a stretch for those with a single income", and that: "It's not surprising the average first-time buyer is now 33 years old, the oldest in the last two decades.". However, while Halifax expects "modest house price growth" this year, Ms Bryden said: "Upcoming stamp duty threshold reductions won't make things any easier in the short term for first-time buyers.". Read more from Sky News:Stake to leave UK gambling market as advert investigatedMerlin Entertainments weighs up aquarium asset sale.
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