The number of Britons who bought their first home has increased by 22% in 2013

The number of first-time buyers afford a house in the UK increased by 22% in 2013 . This is the strongest growth for more than 10 years prior. Today, 6 Jan 2014 home mortgage lender UK Bank Halifax has published a report in 2013, the market of property buyers who first buy their homes.

The main reason for such rapid growth in the number of new buyers was the availability and cheapness of mortgage lending, and affordable home prices.

Approximately 265000 first-time buyers buying a property, did it in 2013. In 2012 the figure was estimated to reach 218,000.

The growth is impressive. However, if compared with the period preceding the crisis, the number of such buyers is still small. In the period from 2003 to 2007, approximately 370800 families in the UK every year, bought a house, which is 30% more than in 2013.

The report was given another curious figures – share of income of a citizen of the UK, which goes to repay the mortgage debt amounted in 2013 to 30%. This is a significant improvement compared to the pre-crisis period, when this share was about 50%. Obviously, to get a mortgage in the UK has become simpler, more accessible and cheaper.

Significantly increased the number of regions of the UK, where mortgage lending is available. The availability of mortgage loans is determined by the ratio of the value of the house to the size of the average annual income of a Briton, living in the region. Usually, the rate is equal to 4. 4 annual income of the average Briton should be worth the real estate that you can take out a mortgage.

Today in 31 regions of the UK the availability of mortgage lending meets this criterion. In 2007 of such regions was only 5.

The average price of a property that was bought in 2013 today 10% lower than in 2007. The overwhelming majority of buyers bought a property at a price exceeding the price threshold at £125,000 pounds, from which they will be required to pay stamp duty. These buyers turned out to be 98%.

The credibility of the real estate market of UK consumers are greatly improved, however, in 2014, still a very large number of potential buyers residing in rented houses will experience significant difficulties to find funds for an initial Deposit needed to obtain mortgage lending. Pressure on the market by low wages and slow economic improvement will remain a constraining factor that prevents many families to change their status from tenant to the coveted status of the owner of your own home.

® Helen Entree. 06.01.2014.