Average price of FTB properties down 23% since peak says lloyds.

geneer

http://www.telegraph.co.uk/finance/economics/houseprices/8961917/Second-time-home-buyers-priced-out-of-market.html

The UK housing market has become the most unaffordable for "second-steppers" in 24 years, the bank said.
It said that first-time buyers intended to stay in their first home for an average of four years, suggesting many potential second-time buyers bought around the peak in 2007.

The home affordability ratio has risen to 5.2 for second-time buyers - the highest level since records began in 1987. The ratio for first-time buyers is 4.1. In 2007 the reverse trend was the case.

The decline has resulted from a fall in the amount of equity they have, driven by the fall in house prices since 2007. The average price paid by a first-time buyer has fallen by 23pc since the peak, Lloyds TSB said.

"The issue of second-stepper affordability is a key one in trying get the housing market moving again with the current difficulties in this segment of the market restricting the supply of starter properties for first-time buyers as well as preventing many of those who need to move from doing so," said Suren Thiru, housing economist at Lloyds TSB.

Those potential second-steppers who bought their home in 2007 are estimated to be in £10,000 of negative equity on average.
The south east of England is the least affordable region for second-time buyers in the UK, followed by London. The most affordable regions are the west and east midlands.

Oh no. I hope theres noone here who bought in 2007. :eek:

geneer

3%

HAMISH_MCTAVISH

So in other words, exactly as noted some time ago, FTB houses have fallen further than 2TB houses, meaning the gap between the two has widened instead of narrowing.

The rungs on the ladder have moved further apart, which is of course the exact opposite of the assertion repeatedly made by housing bears.

The crash has not benefited those looking to trade up.

It has not benefited those looking to trade down.

And more potential FTB-s are locked out of the market thanks to mortgage rationing than ever were due to high prices.

Not really sure why you think any of this is a good thing geener....

geneer

HAMISH_MCTAVISH wrote: »

So in other words, exactly as noted some time ago, FTB houses have fallen further than 2TB houses, meaning the gap between the two has widened instead of narrowing.

The rungs on the ladder have moved further apart, which is of course the exact opposite of the assertion repeatedly made by housing bears.

The crash has not benefited those looking to trade up.

Thats some almight spin right there Hamish.
I'll just leave you with your war against homeowners looking to trade up then shall I? :rotfl:

HAMISH_MCTAVISH wrote: »

It has not benefited those looking to trade down.

You might want to check your sums on that one Hamish.

HAMISH_MCTAVISH wrote: »

And more potential FTB-s are locked out of the market thanks to mortgage rationing than ever were due to high prices.

Not really sure why you think any of this is a good thing geener....

Oh no. :eek:Are they not handing out mortgages to anyone with a thumbprint anymore hamish.

That must be gutting news to those FTBs capable enough to have saved up a deposit, found house prices around 23% cheaper, and found their competition much reduced*.

* reminds me of someone I know as it happens.

DervProf

HAMISH_MCTAVISH wrote: »

So in other words, exactly as noted some time ago, FTB houses have fallen further than 2TB houses, meaning the gap between the two has widened instead of narrowing.

The rungs on the ladder have moved further apart, which is of course the exact opposite of the assertion repeatedly made by housing bears.

The crash has not benefited those looking to trade up.

It has not benefited those looking to trade down.

And more potential FTB-s are locked out of the market thanks to mortgage rationing than ever were due to high prices.

Not really sure why you think any of this is a good thing geener....

The rungs are further apart. Just like pre-2007 (boom).

The crash (denied by many bulls) "has not benefited those looking to trade down." For once, a truth that you have spoke.

"The crash has not benefited those looking to trade up." Another truth.

When will the bulls learn that their dream usually will turn into a nightmare ?

Dear bulls, please stop dreaming. Please start living in reality. It is bullish behavior that got us into this mess. Why not start thinking about buying something because you want it, rather than to profit from it ?

geneer

HAMISH_MCTAVISH wrote: »

So in other words, exactly as noted some time ago, FTB houses have fallen further than 2TB houses, meaning the gap between the two has widened instead of narrowing.

The rungs on the ladder have moved further apart, which is of course the exact opposite of the assertion repeatedly made by housing bears.

The crash has not benefited those looking to trade up.

It has not benefited those looking to trade down.

And more potential FTB-s are locked out of the market thanks to mortgage rationing than ever were due to high prices.

Not really sure why you think any of this is a good thing geener....

Hey Hamish.

I do hope we didn't recently have a discussion about how large period family type properties had tanked by 33% since peak.

Cos then you would be looking very silly indeed.

http://uk.finance.yahoo.com/news/Period-properties-see-value-tele-3737947856.html;_ylt=AinW6mSB8hk61uc90NY1UDDSr7FG;_ylu=X3oDMTFkODJmM2s1BHBvcwM3BHNlYwN5ZmlXZWVrZW5kVGFrZW92ZXIEc2xrA3BlcmlvZHByb3Blcg

Doh!

doire_2

Good news for FTB. More money to spend on other things in life

shortchanged_2

I suppose it means BTL isn't also plugging the gap that some on here said it would.

Mallotum_X

What the quote doesn't make clear is weather the like for like houses/flats have fallen by 23% or the home a ftb is buyinh has changed. I suspect a bit of both.

Percy1983

I like it, got a better house a lot cheaper with no competition, happy days.

geneer

So large period properties down 33% on average.
FTB type properties down 23% on average.

"no crash to speak of".
Right you are lads.