More first time buyer mortgage help is needed.
The mortgage situation is getting worse for first time buyers according to the Royal Bank of Scotland's latest Ability to Buy Index.
RBS economists advise that conditions for first time property buyers are continuing to worsen. First time buyers ability to buy deteriorated by 1% from quarter 1 to quarter 2 due to rising inflation and earnings which are not increasing.
The RBS Ability to Buy index uses the full range of costs which face first time buyers including inflation, National Insurance, tax, essential living expenses and house prices which are all factored in against average salaries.
House prices in the first time price bracket are falling however the positive effect is being outweighed by the rising cost of living.
However despite this, a drop in property prices is helping first-time buyers, as it means that both the size of the deposit needed and monthly mortgage repayments are likely to get smaller.
It is estimated that for first timer buyers monthly repayments take over half of discretionary income. Those buying in London have been hardest hit. The RBS index has revealed that those buying in London need to save almost twice as long for a mortgage deposit as those living elsewhere in the UK.
Conditions are tough for those looking for a mortgage for their first property but there is hope for those who contact Deal Direct for a competitive quote.
Our skilled impartial advisers will carefully review your circumstances to find an affordable product tailored to your needs.
Contact Deal Direct today.
