Government Try To Stop Death of the Housing Market
The average first time buyer in the UK would require a huge £31,000 deposit to step onto the property ladder. The situation which threatens to stop the housing market operating was highlighted the Council of Mortgage Lenders.
According to the latest figures released by the CML (for Q3 2010), the average first time buyer will need to save almost a full year's salary (£31,500) to raise enough deposit for a loan. This represents 94% of the average income of those buyers who have purchased first homes and is a significant jump on pre credit crunch statistics. In Q1 2007, for example, the average deposit was £12,700, representing just 37% of annual income