View more on these topics

FTBs face daunting deposit

The average deposit paid by first-time buyers has rocketed over the last five years, jumping 250 per cent to £22,547 from £9,019.

Figures from market analyst Datamonitor provide evidence that FTBs are being priced out of the market and are finding it increasingly difficult to get on the housing ladder.

People looking to buy in London have fared even worse, seeing a 265 per cent jump in deposit to £37,123 from £14,062 in 1998.

Datamonitor say the problem will only get worse until lenders, property developers and the Government co-operate to ensure there is good quality and affordable housing. The report says the proportion of FTBs is falling, now accounting for just 29 per cent of loans advanced for house purchase compared with 38 per cent of the market in 2002 and 48 per cent in 1999.

The average loan for first-time buyers has increased to £80,016 now from £51,038 in 1998.

Datamonitor analyst and report author Alex Boorman says: “First-time buyers are staying away from the market. Property prices are being buoyed by other areas such as buy-to-let, where ironically growth is being fuelled by first-time buyers who cannot afford today&#39s prices.”


FSA&#39s prescription for advice is based on poor diagnosis

I understand there is a phrase in journalism relating to the summer when there is little or no news – the silly season. This came to mind when I read that the FSA is seeking to redefine advice and make IFAs specialise in meeting the needs of one particular stage of a person&#39s life (Money […]

&#39Efficient admin systems could save life offices £1.5bn a year&#39

Life offices could save up to £1.5bn each year if they adopted more efficient administration and back-office systems, says software provider Marlborough Stirling. An analysis by the company of the FSA&#39s 2002 returns reveals that life offices are spending more than £30 a year to administer each individual policy on their books, up from£28 in […]

Us turning away from long-term fixed loans

Chancellor Gordon Brown&#39s plans to base the UK mortgage market on the US long-term fixed-rate model could be in for a setback with even in long-term fixes starting to lose their appeal even in the US. US borrowers have traditionally taken out 30-year fixed-rate mortgages. Brown praised the American system in the House of Commons […]

Friendlies could shut if Sandler plans get go-ahead

Up to a third of friendly societies could be forced to close if a Government proposal to drop qualifying policies goes ahead under its Sandler proposals. Druids Sheffield Friendly Society chief executive Colin Paskell, who is also on the Association of Friendly Societies policy and public affairs committee, says around 20 out of 64 friendly […]

Canada Life annual IHT survey results

75% of wealthy unaware of new residence nil rate band IHT allowance Just 4% were aware the new allowance will be up to £175,000 per individual Lack of awareness of IHT rules means families risk paying a bigger bill than they need 83% think the current inheritance tax rules are far too complex A remarkable […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm