At Williams of Petersfield, we stay in touch with the local housing market (and national market), helping people make their next move. If you are looking for guidance or assistance on any property matter, get in touch, and we will be glad to help.
This is a boom time for first-time buyers, and it is natural for people to question if Petersfield is good for first-time buyers.
How is the market looking for first-time buyers?
According to the Yorkshire Building Society (YBS), there were more than 400,000 first-time buyers in 2021. This is the first time this figure has been breached since the Great Financial Crisis. It is estimated there were 408,379 first-time buyer instructions in 2021. This represents a 35% increase on the 2020 figures, which stood at 303,000.
First-time buyers make up 50% of all property purchases with a mortgage. Back in 2007, these buyers only represented 36% in the overall mortgage market.
The last notable peak with respect to first-time buyers was 2002, and this year saw 531,800 people make their way on to the property ladder. In 2006, there were 400,900 first-time buyers in the market.
After the financial crisis, first-time buyer numbers were around 200,000 (between 2008 and 2012), so the current numbers are around double what they were during that challenging time.
Is Petersfield suitable for first-time buyers?
While the average price of property in Petersfield is higher than what many first-time buyers are looking to pay, it should be remembered that many different sorts of people, from various backgrounds, are classed as first-time buyers.
With Rightmove saying properties in Petersfield had an overall average price of £509,886 over the last year, as of the end of January 2022, this is a higher price than many people would look to pay. However, first-time buyers with support from family members or who have been a success in business or life, might find this area to be perfect when stepping onto the property ladder.
Also, in our dealings in the local area, we have worked with many first-time buyers, so we know there is demand from this group.
This is a good thing, even if you aren’t a first-time buyer yourself. Having new buyers enter the market ensures the cycle keeps moving, and if you’re a homeowner looking to sell your home, it might be that a first-time buyer is your ideal buyer.
What are key factors in the current level of demand for homes?
When it comes to understanding why there is a greater level of demand for property right now, the following factors are all prevalent:
- Unemployment figures which are falling
- Borrowing is affordable for many people
- There is a strong range of affordable mortgage deals with low deposits
What is the average cost of a home for a first-time buyer?
The most recent figures, for October 2021, state the average price of a first-time buyer’s home is £222,997. This represents a 9% increase in the figure from October 2020.
Contact Williams of Petersfield for all your 2022 housing market needs
At Williams of Petersfield, we aim to support the Petersfield community as much as we can, and we know this is an extremely trying time. A lot of people are looking for support and guidance, and if you have any property or housing related questions, we are more than happy to assist you, so contact us today.