Problems with first-time buyers being able to afford property has become major news in the United Kingdom over the past several years. The economic climate has affected the number of people able to afford properties, which has meant many young people are stuck in the rental market, unable to take that first step onto the property ladder.
Recent information that has just been released by the National Association of Estate Agents, has said that the number of first-time buyers wanting property has fallen to its lowest point for seven months. Many people blame this on the poor economy in the UK, as well as the economic climate in the rest of Europe, especially the Eurozone crisis.
An injection of nearly £9 billion highlights how mortgages are expiring and sales are not taking place at the same rate as they were previously. It shows that people are making strong efforts to pay off their mortgages in order to stabilise their finances. This figure is only slightly higher than the figure for the previous quarter, which was around £300 million less.
Before the economic crisis set in the opposite situation was happening. People were taking out large mortgages in order to buy bigger homes, but since the financial crisis began this process has stopped and people are looking to reduce the amount of debt that they have. The market is incredibly turbulent and this has had even further consequences on first-time property buyers who are trying to get a foot on the property ladder.