Seven in ten towns ‘unaffordable’ for FTBs
April 13, 2007 by admin
Filed under News, News-Mortgages
Property buyers are still suffering from high housing prices, with public sector workers unable to buy homes in seven out of ten towns in the UK, according to one report.
The Halifax bank has claimed that, by dividing average and regional property prices by annual wages, there are many unattainable areas in London and the south-east in particular for first-time buyers (FTBs).
So-called key workers – those in public sector position such as nurses, teachers, firefighters and police – are particularly suffering from high mortgage costs, as costs for a first home continue to increase beyond the financial reach of many.
And according to the Halifax, 363 of the 517 towns and local authorities surveyed were deemed unaffordable.
But while several mortgage lenders have recently been trying to address this concern, offering huge mortgages equal to six times the salary of the borrower, the market is showing little sign of slowing down.
The number of buy-to-let mortgages are set to continue to increase as wealthier and professional house buyers continue to snap up affordable property in order to rent them out.
