UK: The New Year brings opportunities for first time buyers

According to the property website Rightmove, the number of homes on the market with 2 or less bedrooms has risen by 1.9% in the beginning of 2017 compared to a year ago. This may provide an opportunity for first time buyers when compared to the start of 2016, which saw buy-to-let landlords purchasing homes ahead of the stamp duty surcharge for second home purchases, which was implemented on April 1st. First time buyers may face less competition from landlords, but they may still need to save a larger deposit compared to the previous year, with the property website revealing that the average asking price (across England and Wales) for a typical first time buyer dwelling in January was £188,612, almost a 3% increase compared to the figure in January 2016 of £183,900.

Miles Shipside, Director of Rightmove said, “Those planning to buy their first home in 2017 have more choice of properties and less competition from other buyers than their counterparts a year ago. Some sellers of first-time-buyer properties may be over-optimistic with their pricing, giving an opportunity for budget-strapped first-time buyers to negotiate, especially if they act now while there’s still more choice available.”

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