The current lending market and housing market have combined to make perhaps one of the most attractive environments for home buyers in decades. Pushed into the current state by many factors, including the upcoming Brexit deadline of 31 October, lenders are competitive, home sellers are aggressive to sell and lowering asking prices, and the mortgage products on the market have low interest rates and longer terms than seen in decades. Hopeful home buyers are going to have a hard time passing over the opportunities that currently exist and are therefore expected to remain focused on the housing market.

According to a recent study by Zoopla, first time buyers are expected to have been the largest demographic property buying group for the year. Along with lenders working hard to get the attention of borrowers with beneficial mortgage products, and more affordable homes to buy, there is relief from the usual stamp duty costs and an even greater overhaul to the stamp duty levels expected in October.

Those first time home buyers are finding such a favorable situation that many are skipping the usual small starter flat and instead are shopping for three bedroom homes.

There is still a problem for many hopeful home buyers to save for the required deposits. For many buyers, the bank of Mum and Dad make it possible to have the deposit to purchase their first home. There have been some lenders that are offering mortgage products to help the situation such as a 100% mortgage with no deposit, but it requires the deposit amount to be put into a savings account with the lender by a family member, usually the parents.

Richard Donnell, research and insight director at Zoopla, remarked, “First-time buyers have been the driving force behind the housing sales market in recent years. Lower mortgage rates and improving mortgage availability have supported the growth in numbers across the country.

“Despite increased barriers from high house prices in southern England and mortgage regulations, the appetite to buy their first home remains strong.

“Whilst the outlook is more challenging in London, growth in first-time buyer volumes is expected to be driven in regional markets where affordability remains attractive, supported by greater availability of higher loan to value mortgages.

“The greatest potential for further growth in first-time buyer numbers is in the north-west and Scotland, where growth has been most robust recently. Changes to the Help to Buy scheme in England from 2021 could have an impact on the 14% of first-time buyers using this scheme to buy their first home.

“However, the impact could be offset by higher loan to value lending and newer forms of tenure such as shared ownership. First-time buyers will be the largest buyer group this year and there is no evidence that the long run appetite for home ownership will diminish any time soon.”