Recent research has revealed that the number of sales made to first-time buyers during October fell to an eight-month low.
According to the monthly Housing Report issued by NAEA Propertymark, the proportion of sales made to those just accessing the housing ladder dropped to 22% last month, the lowest reading since February.
Similarly stagnant is the number of sales agreed per branch, with figures standing at an average of just 8 – unchanged since July.
Where demand was concerned, the number of prospective buyers registered per branch fell by 11% during October, despite the substantial rise during the previous month. On average, the figure fell from 394 to 349.
In contrast, supply saw a modest increase, with the number of available properties on estate agent books growing from 41 in September to 42.
Commenting on the results of the report was Mark Hayward. The Chief Executive of NAEA Propertymark stated that whilst the figures seem to highlight the market access problems for first-time buyers, the stamp duty reform is sure to alleviate this to an extent.
“First-time buyers have felt locked out of the market for some time and our figures continue to highlight how the problem is only getting worse. However, following the announcement of the abolishment of stamp duty for first-time buyers in last week’s Autumn Budget, we hope to see more first-time buyers coming to the market and making their dream a reality. We do however need to realise that if we don’t have the supply to meet the increased demand from FTBs it’s likely we’ll see house prices increase.”
