First-time buyers are typically buying homes priced at around £20,000 below the market average, according to a property website.
People taking their first step on the property ladder are purchasing a home at an average of £244,100 – £20,300 (8%) below the local market average, Zoopla said.
Elevated mortgage rates mean that the average first-time buyer who got on the property ladder in the fourth quarter of 2023 is paying around £213 more per month on average on their mortgage than if they had bought their first home in the fourth quarter of 2022, according to Zoopla’s calculations.
First-time buyers are in a stronger position in the current buyer’s market
Izabella Lubowiecka, Zoopla
The average monthly mortgage payment for those getting on the property ladder in 2023 is around £990, while for those who bought a year earlier it is around £777, Zoopla calculated.
It used UK Finance figures, taking into account average deposit sizes, to make the calculation.
Izabella Lubowiecka, senior property researcher at Zoopla, said: “First-time buyers are in a stronger position in the current buyer’s market so we encourage them to be resourceful and assess all the options available to them.”
