More FTBS Are Buying Homes

The latest figures from e.surv who are responsible for around 40% of house valuations in the UK, suggest that more first time buyers are purchasing homes with 27% of all mortgage approvals in April being for properties costing less than £125,000. The figure is 7% higher than in April last year.

The data shows that lenders are beginning to offer higher loan-to-value ratio mortgages with the average LTV for properties under £125,000 standing at 68% in April compared to 64% in April 2010. Richard Sexton, business development director of e.surv, said, "More first time buyers are getting on to the property ladders as they look to escape the record cost of renting and take advantage of loosening lending criteria. Lenders are looking to bring in new business after a remarkably sluggish winter period. They have tentatively offered high LTV products for some time, although the criteria have been so tight that few borrowers qualified. This is slowly starting to change."