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Young Brits ready for first property loan

16 November 2004

Brits in their twenties are the most buoyant about buying a property within the next two years, according to new research.

The latest findings from Alliance & Leicester Mortgage's moving improving index show that one in five (20 per cent) people aged 20 to 29 are still hoping to buy a property within the next two years - the highest for any age group.

Whilst the average first time buyer is currently aged 34, these findings indicate that the next generation of first time buyers hoping to get their foot on the housing ladder is likely to be much younger.

Overall demand remains stable, with 10 per cent of people saying they plan to move in the next two years, only 1 per cent less than last quarter.

Of those planning to move - just under half (4 per cent) are planning to do so in the next 12 months with the remainder (6 per cent) wanting to move within two years.

Paul Cooper, Head of Mortgages at Alliance & Leicester, said: "It is encouraging to see that the housing market can expect some new blood within the next two years.

"Most commentators believe that interest rates have peaked, with the base rate levelling out and slowly falling in the next few years, so first time buyers can look forward to even more competitively priced mortgages.

"This is encouraging and I look forward to some new verve in the housing market."