According to a new survey, the number of people buying their first home almost doubled in 2021, and prices they paid fell £ 12,600 despite the housing boom.
According to the Barclays First Buyer Index, first-time buyers increased 98% last year compared to 2020.
They paid an average of £ 281,900 to their home. This is below the average price paid in 2020 of £ 294,500.
However, this represents a rise from the pre-pandemic level recorded in 2019, where first-time buyers typically spent £ 249,700 to ride a real estate ladder.
First-time buyers almost doubled last year as regular prices paid fell by £ 13,000.
The £ 281,900 figure is still above the average UK home price, according to land registry data. £ 275,000 in December 2021..
Many buyers found it less attractive during the blockage period, which required more space, which could have reduced the price of apartments to less rapid growth than other types of properties.
According to the latest ONS figures, average real estate prices for the year to December rose 10.8%, while single-family homes rose an average of 15.3%, while apartments rose only 5.3%.
Barclays data also show that the average revenue for a single first-time buyer has increased significantly from £ 45,900 in 2019 to £ 50,300 in 2020 and £ 50,800 in 2021.
The average total revenue of first-time group buyers decreased slightly from £ 72,200 in 2020 to £ 70,500 in 2021. However, this was well above the £ 63,800 normally earned in 2019.
The house price is From quilters more and more with wages.. Nationally, the home price-to-earning ratio was 5.9 in early 2020, compared to the pre-crisis record of 6.4 in 2007.
In the fall of 2021, home prices and rates of return exceeded that, reaching 6.6.
House prices are record highs compared to wages, above their pre-crisis peaks in 2007.
According to Barclays data, the average deposit paid by a single first-time buyer in 2021 was £ 61,100, more than a year’s salary, significantly higher than £ 71,400 in 2020. It has decreased.
For group buyers, the average deposit in 2021 was £ 61,000, a slight decrease from £ 63,800 in 2020.
Survey respondents say that the biggest obstacle to home ownership is struggling to save deposits, with more than half (56%) of those surveyed being able to ride a property ladder without family support. I said I couldn’t.
However, personal savings are still the primary method of saving for deposits, with 62% of those surveyed saying that this accounts for the majority of down payments.
The average age for first-time buyers to complete a home purchase was 32 years
The average first-time buyer starts saving at the age of 24, and the average age at completion is 32, which hasn’t changed over the last three years.
Almost three-quarters of those surveyed said they wanted to start saving faster for their deposits.
And nearly two-thirds of those trying to buy their first home believed they would never ride a property ladder.
Claire McFile, a Barclays mortgage expert, said:
“But I’m worried to hear that despite almost doubling numbers last year, many still believe they can’t afford their first asset.”
The survey also revealed a lack of knowledge about the process of buying a home and the costs involved.
More than half of up-and-coming or existing first-time buyers said they didn’t know how to proceed with the process of buying their first property.
About 39% said they didn’t know they needed to consider legal fees, and 54% were unaware that they might have to pay stamp duty even if they weren’t exempt.
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Number of first-time homebuyers doubled in 2021
https://www.dailymail.co.uk/money/mortgageshome/article-10577659/Number-time-home-buyers-DOUBLED-2021.html?ns_mchannel=rss&ns_campaign=1490&ito=1490 Number of first-time homebuyers doubled in 2021