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Revealed: 61pc of first-time buyers are now aged 25 and over

First-time buyers can't get their foot in the door, but landlords have a wide open window of opportunity.

The average age of a first-time buyer rose to 33 by 2015, up from 30 in 1995, and the majority of the first time buyers were aged 25-34 (61pc).

These are the findings in the latest English Housing Survey, who also reported that the proportion of first-time buyers aged 16-24 was 10pc in 2015, while the 35-44 bracket was 20pc.

The full figures paint a worrying picture for the first-time buyer, who is on the receiving end of increasingly difficult market conditions and therefore limiting affordability until he or she is in their mid-thirties.

80pc of all first-time buyers were couples, up from 63pc in 1994-95, and a massive 72pc of first-time buyers were in the fourth and fifth quintile income bands in 2014-15, up from 62pc in 1994-95.

Since the 2008 financial crash, the stats show that UK property has become increasingly unreachable for the younger generations, and now the ability to buy relies more on being in a relationship and your family's wealth.

At the same time, the private rented sector has experienced equal growth in the same period.

The proportion of 45-54yr-olds expecting to get out of the rented sector and buy a house increased from 33pc in 2010-11 to 48pc in 2014-15, showing how buying has become a privilege for mature adults reaching middle age.

Due to the major shifts in housing tenure in the last 20 years, property investment as buy-to-let is becoming an increasingly powerful tool for those looking to secure an income for retirement or in their working life, simply due to the surging demand for rental property in the UK.

Furthermore, given the recently announced interest rate cut to a record-breaking low of 0.25pc, mortgage rates are bound to follow, giving investors the opportunity to get more from their money should they choose to invest while the UK market stutters.

The Bank of England has also supported a further interest rate cut should the economy falter towards the end of 2016, another shot in the foot for young savers and equally an opportunity for borrowers.

The new Chancellor, Phillip Hammond, is also a previous buy-to-let investor, so landlords may dream of some legislation in their favour in the autumn statement and 2017's budget, especially in terms of softening stamp duty rates on overpriced houses.

If you're hoping to expand your portfolio and are on the lookout for new investment opportunities, contact your local office who will be more than happy to help with your search.


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