First Time Buyers Finally Find Hope in the Housing Market

The proportion of first time buyers (FTBs) looking to put a foot on the property ladder more than doubled in the first two weeks of 2009, according to the National Association of Estate Agents (NAEA).

22.5% of registered buyers were FTBs, up from 10% in December and 14.5% in January 2008.

Peter Bolton-King, CEO of the NAEA, said: "This figure is highly significant in terms of demonstrating an increase in consumer confidence. The NAEA views FTBs as the bedrock of a healthy housing market. During the boom years we saw the number of FTBs as a proportion of buyers rise as high as 37%, and I believe that an average of 25% is indicative of a healthy and confident market."


He added: "While the figure of 22.5% is definitely not a sign that the housing sector is out of the woods yet, it does suggest that those infamous green shoots of recovery may not be as far off as first thought."

Figures from a national survey of the NAEA's 14,000 members also demonstrate that second time buyers are determined to try to bag a bargain. Agents reported a flurry of activity in the first two weeks in January, with an average of ten new sellers per agent. Agents made an average of four sales in the first two weeks of January - compared to a monthly average of six in November and December 2008.

(CD/JM)