First-time buyers swoop in during summer lull
First-time buyers jumping onto the property ladder rose to an eight-month high in July, as hopeful homeowners took advantage of the housing market’s traditional summer slump.
Roughly 30 per cent of all house sales were made to first-time buyers in July, rising from 23 per cent in the same month last year, according to new data from the National Association of Estate Agents (NAEA).
The growing volume of first-time buyers comes in the wake of a wider slowdown in the overall number of house hunters registering with estate agents.
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Registrations fell for the second month running in July with 303 registered buyers per branch – the lowest recorded figure since December 2017 when agents had 268 on their books.
While London’s sluggish housing market suggest lower levels of activity than usual, such low take-up is also typical in the summer season, with July demand dipping each of the last three years as many buyers divert their attention towards holiday trips abroad.
However, NAEA boss Mark Hayward said that such an uptick in first-time buyers was unexpected.
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"What we saw in July was typical of the summer. House hunters put their plans on hold as the holiday season takes priority, and demand dips as a result. We don’t usually see first-time buyers taking advantage of this environment and pushing to agree sales while sellers are on the back-foot," according to Hayward.
He added: "In September, buyers typically storm the market in a bid to complete sales in time for Christmas, so first-time buyers should make the most of the slower market while they can."