Developer Walton Homes has reported a rising number of first-time buyers ‘skipping a rung’ when it comes to buying properties across the Midlands.
Sarah Summerton, Director at the Staffordshire-based business, said that a combination of factors was having a positive impact on new home-owners’ financial position, enabling them to choose larger homes than those historically purchased by first-time buyers.
Sarah said: “In the past, prospective home-owners would save for a deposit and set their sights on getting their foot on the property ladder, securing a one- or two-bedroom property to establish themselves on the bottom rung with an asset. But we’re finding more and more that first-time buyers are leaping on the ladder a couple of rungs up and opting for three- and four-bedroom homes.
“It seems to be one of the few positive effects of the uncertainty surrounding Brexit: mortgage lenders’ criteria are much easier to meet, interest levels are at a manageable, low-level, the Government extended its Help To Buy scheme from 2021 to 2023 and stamp duty relief was introduced for first time buyers in November 2017, all of which proved beneficial for potential buyers
“All in all, first time buyers are in a stronger financial position than they have been for years,” she said.
Walton Homes, which currently has seven developments open and under construction throughout Staffordshire and Derbyshire, said that almost 60 per cent of the family homes it had sold in 2019 had been purchased by first-time buyers, and that it was keen to support the trend into 2020.
“For a long time, establishing yourself as a home-owner has been a daunting process, and we’re eager to capitalise on the positive position buyers currently find themselves in.
“For our part, we have introduced our Lion’s Share equity-loan scheme to provide further support, and we frequently highlight ‘hot plots’ across our developments with substantial discounts, or sell our show-houses fully furnished upon completion of a development, and our mortgage-advisory team is happy to work with buyers to find the right lender for them.
“With so much concern surrounding the economy at present, it’s good to have such a positive outlook as we start 2020 – particularly in light of how many people have ‘Get on the property ladder’ at the top of their resolution list,” she added.
