This website uses cookies to improve user experience. By using our website you consent to all cookies in accordance with our Cookie Policy. Read more

Abbey Mortgages notes rise in southern first-time buyers

05 September 2007
The number of first-time buyers living in the south has doubled in five years, despite them paying a third more for their new homes, according to new research.

Figures from Abbey Mortgages revealed that southerners buying their first homes now borrow an average of £128,370 - 31 per cent more than their northern counterparts.

Nici Audhlam-Gardiner, head of mortgages at Abbey, described the evidence of the north-south divide as "more of a gulf than a gap".

"Perhaps it shows that people in the south want to buy now – expecting prices to continue rising at a rapid rate, whereas buyers in the north feel they have less to gain in jumping on the property ladder," he suggested.

Abbey has recently launched a 100 per cent mortgage aimed at first-time buyers who found it difficult to save up for a deposit, he said.

House prices increased by 0.4 per cent last month according to the Halifax House Price Index and figures over the past four months have indicated a slow-down.

Martin Ellis, chief economist, said that the market remained robust but he expected house prices to continue to slow in growth for the rest of the year.

Find out more about a first-time buyer mortgage

track© Adfero Ltd