The Covid 19 pandemic had a significant negative impact on first time buyers.
The market saw 90 to 95% mortgages close to being wiped out during lockdown and the months following, leaving first time buyers with smaller amounts of capital available to put towards a deposit at a considerable disadvantage.
Recent developments however have taken a more positive turn as lenders are starting to increase the availability of products tailored to those with lower mortgage deposits.
The government’s intentions have also struck a further, hopeful note for concerned first time buyers. At the start of October the Prime Minister reiterated a pledge made pre-pandemic to assist first time buyers by making long-term fixed rate mortgages available to people with deposits of 5% with a view to creating a new ‘Generation Buy’.
This renewed government commitment plus recent increases by lenders to products available to support first time buyers suggests there is a light at the end of the tunnel for those looking to get onto the property ladder for the first time.
Currently the new restrictions coming into force on November 5th do not affect people moving home. People can still move home. Estate and letting agents as well as removals firms can continue to work and people looking to move home can continue to undertake viewings.
Eleanor Ronson – Wollens residential property expert.
Eleanor Ronson is part of the Wollens property team.
contact Eleanor : [email protected]
or call 01392 539196
