Partner Article

North East first-time buyers have the smallest deposits in the UK

According to a report by LSL Property Services, the number of first-time buyers in the UK rose to a seven year high in July.

The average deposit in the UK has dropped 10% to £26.4k. However, first-time buyers in the North East have the lowest deposits in the country with an average of just £10.7k.

The next cheapest region in terms of deposits was Scotland, with an average deposit of £15k followed by Yorkshire & Humber at £16k.

The average first-time buyer purchase price topped £150k in five UK regions in the three months to July, including London, South East and South West.

In the capital, the average first-time buyer deposit was £62,253 – twice the size of the average deposit in the South West (£31k) and the South East (£30k).

David Brown, commercial director of LSL Property Services, said: “The urgency among first-timers to lock into cheap fixes is propelling activity at the bottom of the market. Fixed deals have already started getting more expensive, as banks raise rates in anticipation of a potential interest rate rise.

“Governor Carney’s to-ing and fro-ing over the date of the base rate rises have added confusion into the economic equation – encouraging more buyers to act now, while the last of the cheap deals remain.”

This was posted in Bdaily's Members' News section by Ellen Forster .