First-time buyer activity improves in October

The number of loans advanced to first-time buyers in October returned to levels similar to those seen over the summer following a slow September, according to data from the Council of Mortgage Lenders (CML). A total of 20,000 loans were advanced to first-time buyers in October, a rise of 14% compared to last month and up by 19% compared to this time last year. In total, loans to first-time buyers were worth £2.5 billion in October, up on the £2.2 billion in September and the £2.1 billion advanced at the same time last year. Lending to home movers also increased, contributing to a jump in house purchase lending. CML's research also shows that the average first-time buyer typically had a 20% deposit and they purchased properties priced between £125,000 and £250,000 in October. December 14, 2012