The official Government’s measure shows that overall house prices have risen by 0. 7 per cent in March which means they have increased over five consecutive months.
According to the Department for Communities and Local Government (DCLG), the average house price is now £205, 598. The findings are that first time buyers have been disproportionately affected by the increase since the price of homes bought by first time buyers has risen by 12. 6% in the past 12 months as opposed to those bought by home movers where prices have risen by only 9. 7%.
Further, realistic measures need to be introduced to help first time buyers get on to the property ladder. Times are very hard so it is no longer possible to rely on funding from parents and it is getting more and more difficult to become a first time buyer in this day and age. The stamp duty land tax legislation and cuts in interest rates have helped to some extent but more needs to be done to bridge the gap and help those on lower incomes to own their own homes.
Commentators have said that there will continue to be some degree of uncertainty in the property market following the change in government, while we await news on when the HIPs will be abolished, interest rates and new capital gains tax measures. However, let’s hope that the market steadily picks up and more properties appear on the market enabling first time buyers to have a chance of finding a property they can afford.