The data revealed that despite the number of sales agreed falling for the first time in four months, first-time-buyer activity is now 8% up from September 2018 when it stood at 22%. Prospective buyers fell by 11% and the supply of available housing also decreased, according to the report.
Demand for housing
The number of house hunters registered per estate agent branch decreased in September, from 433 to 387. Year-on-year, housing demand is up, rising from 338 house hunters per branch in September 2018.
Supply of available properties
The number of properties available per member branch also fell in September, from 44 in August to 40. Year-on-year, the supply of housing is down, falling from 46 in September 2018.
Mark Hayward, Chief Executive, NAEA Propertymark comments: “Despite a fall in demand from house hunters, first-time buyers have continued to show resilience as they take advantage of favourable market conditions and drive their transactions forward. The recent mortgage data released from UK Finance shows the number of first-time buyer mortgage completions reached its highest monthly level in August 2019 since August 2007, further highlighting this trend.
Low or no stamp duty on lower priced properties have proved to be a big reason behind this boost in the FTB market, however they could also be concerned that the market may turn against them if a Brexit deal is achieved and are buying now to avoid that scenario. Until we are clearer on what the future holds, it’s likely we’ll continue seeing the number of first-time buyer sales rising.”
