London: British first-time buyers made up a record share of home loans last year as easing borrowing costs made houses more affordable, according to new analysis.
Those looking to step onto the property ladder accounted for 54% all mortgages in the 12 months through January, lender Halifax said.
The number of first-time buyer loans reached 341,068 over the period, a fifth more than a year earlier.
Prospective homeowners returned to the market after Bank of England policymakers started easing interest rates from a 16-year high.
A resilient jobs market, real wage growth high savings rates helped boost demand for housing, while rampant rent inflation is also likely to have made mortgage payments relatively more attractive.
The average price paid by a first-time buyer increased to £235,195 or about US$305,040 in January, a gain of almost £7,500 from a year earlier.
Larger properties were in high demand among this group, with values for terraced homes rising 3.5%.
Prices for flats, which outperformed bigger houses in 2023, increased just 1.8% over the past year. — Bloomberg
