The latest Rightmove report, which captured the opinions of 26,240 consumers between 4th and 18th April 2011, shows a jump in the levels of intending first time buyers to 26.2 per cent, in Q1 the figures were only 22.8 per cent.
The report also finds that those expecting prices to be higher in the next twelve months has increased to 33.3 per cent, this indicates that many first time buyers will be opting to purchase sooner so that they can beat any price increase. It appears that confidence in the housing market could be growing again as those expecting prices to be lower in the next twelve months reduced from 33.3 per cent to 24.8 percent.
Miles Shipside, Director of Rightmove, commented:
“Despite prospective first-time buyers still being frustrated by deposit-hungry lenders and stifled by sellers unwilling to reduce their prices this survey forecasts an upturn in their activity in the next 12 months. As they closely scour what’s available in their local markets, this is perhaps driven by their sense that the deals on properties to buy and mortgage funding criteria are not going to improve and so more have simply accepted these conditions and decided to act. Indeed, there is a large shift of opinion amongst would-be first time buyers that prices may well have bottomed out and could be higher in some areas in a year’s time”.
The biggest problem for first time buyers though will still be the deposit, 44 per cent of first time buyers said that this was their biggest concern.
What do you think — are you getting more first time buyers through the door yet?
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