Thursday, March 6, 2008

First time buyers mortgage applications ‘bounced back’ in February – Charcol

FTBs now 10% of market - woopeedoo

First time buyers bounced back, and made up 10% of mortgage applicants this month, as they took advantage of the last of the high loan-to-value deals. This more than doubled the 4.5% of buyers that were first-timers in January. Remortgages for Buy-to-lets were up in February compared to January, but new purchases for Buy-to-lets remained low. Fewer than 1% of borrowers took mortgages above 100% in February, and they will be the last.

Posted by uncle chris @ 10:08 AM (1196 views)
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18 thoughts on “First time buyers mortgage applications ‘bounced back’ in February – Charcol

  • it_is_going_with_a_bang says:

    “February may be the result of January’s cautious buyers returning late, having given the market time to settle”

    LOL. Prices have settled everyone – you heard it here first ……

    Someone tell the BOE and the FED it’s all ok now. Phew ….

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  • Converted Lurker says:

    weird time to be an FTB. House prices are in decline as mortgage products have disappeared, it is limbo land atm. Look at the re-mortgage figures for buy to let, what does that tell you? The last debt throe?

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  • FTBs could be going straight into Negative Equity even with an 80% LTV as this market has far from settled and in fact has only just begun to move in a downward spiral. No one knows where it is going to end,but it is pretty certain not to rise in the forseeable future. The signs are that it would be wise to be careful for at least one or two years. Interest rates are also a big consideration if the US rescue attempts fail, and the signs are not looking good so far.

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  • “Fewer than 1% of borrowers took mortgages above 100% in February, and they will be the last.”

    They may be the last to take mortgages above 100% in order to BUY their properties now, but they won’t be the last to END UP with mortgages above 100%. Not by a long way.

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  • Vam Hoogstraten says:

    I think the key word is loan “applicants” – doesnt mean they ever actually got their applications approved

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  • So first time buyers are up, but also first time buyers can’t buy, boosting renting… having your cake and eating it.

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  • mark wadsworth says:

    Complete and utter twaddle, as ever.

    The reason that FTB’s are now 10% of purchases might be because there are more of them, or it might be because there are far fewer of everybody else. It’s only the absolute numbers that matter. And short of being told the absolute figures, the article is meaningless.

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  • Hmm. So you have 1 FTB and 19 BTL mortgages, that’s 5% FTBs. Next month you have 1FTB and 9 BTL mortgages. Woohoo, 10% FTBs, they’re flooding back to the market. Oh, only there’s half as many mortgages sold. Err. Woohoo, 10% FTBs !!

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  • Anyone who buys now, must be absolutely insane…..or very desperate!

    FTB’s being screwed again.

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  • theboltonfury says:

    I couldn’t give a rat’s ar5e about the specific plight of first time buyers. My desire for a house price crash is not to enable this sole group to get a house. It does seem sometimes that a HPC is only advocated to help FTB. House prices are ludicrous acoss the whole board

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  • What utter twaddle!

    Those stats prove nothing and are little more than manipulation and fodder for the stupid.

    If only 10 people bought house next year and 7 of those were FTB then would that suggest that the market was on its way to recovery as FTB were flocking back to the market as they comprised 70%. Utter tripe. Stats like that prove zip.

    The stats presented probably speak more about BTL leaving the market.

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  • planning4acrash says:

    Bolton, you are kindof right, families can’t trade up coz gaps between rungs are too much, but FTB are relevant, because affordability for them, plus a bit of market over run marks the bottom of the crash.

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  • theboltonfury says:

    fair point. It may have read a little hostile. I’d love to see FTB buy again, but not for a good 3 years as this will mean prices have declined steadily. There are many groups of people scuppered by HPI, not just the stereotypical young 20 somethings looking for their first home. The social problem this greed culture has created is a monster

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  • george monsoon says:

    10% of how many in total?

    This doesn’t mean FTBs are on the increase, it may actually mean that other buyers (remortgagers) are dropping…

    what a pile of manure.. just look out of the window at all the “for sale” and “to let” signs.. First person to spot a sign that says “sold” let me know..its been a while…!!

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  • George – depressingly, there are many sold signs down here. Mind, you – it could well be holiday home sellers taking ‘low’ offers just to get shot.

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  • justwatching says:

    Again, lies, damn lies, and statistics. I’m not overly bright, but without the supporting numbers this is an empty article. I can’t call it VI spin, because the numbers may prove me wrong. Why don’t they include them?

    The sad thing is some (even if it is only one) dumb, poor, misled, cn*t will read this and be affected. The worst affect would be to go and buy a house.

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  • mark wadsworth says:

    Cornishman, a ‘sold’ sign went up three doors down the road from my old house back in November. I completed on 22 Jan, my sale is now on houseprices.co.uk and so on, but his still isn’t, so I guess that a lot of these are sold STC which means bugger all in a falling market.

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  • planning4acrash says:

    Loan applicants will increase as people are turned down, just as the number of properties on estate agent’s books will increase as they don’t sell.

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