While the stamp duty holiday has helped many people enter the housing market with confidence in recent weeks, it isn’t of benefit to everyone.

Many FTBs feel as though the stamp duty holiday isn’t for them. Many industry experts believe the measure is of greater benefit to people looking to upsize their home or who are buying in expensive areas.

It can be argued that there are other measures in place to support these buyers. However, given the challenges of buying your first home, it is easy to see why people want as much support as possible.

 

A recent study indicates the challenges facing this group of buyers

There have been positive and negative aspects to first-time buyers in Great Britain relating to the COVID-19 pandemic. YouGov studies have offered a range of findings which dig into how FTBs are facing the property market in 2020.

32% of respondents who plan to buy their first home in the next year say the COVID-19 pandemic has been positive for their financial status. For the whole of the country, this is only true for 14% of respondents.

34% of respondents said they have suffered a negative financial impact, but for FTBs, the figure is lower, at 30%.

People who plan to sell their home within one year are found to have been negatively impacted by the COVID-19 pandemic. 38% of respondents say the pandemic has negatively affected their finances while 16% of this market have experienced an upturn in their financial status.

 

Mortgage issues might hamper FTBs

While some first-time buyers have expressed positivity in their circumstances, arranging a mortgage isn’t easy. 17% of people who plan on buying a home in the next 12 months have applied for a mortgage. It would be fair to say that the results are mixed.

44% of respondents say the limited choice of mortgages available has made it difficult to arrange a mortgage. For first-time buyers, 53% of respondents has expressed challenges in finding a mortgage. However, in the group of buyers who have previously bought a home, 36% have said they find it hard to find and choose a suitable mortgage.

It should be noted many banks have removed or at least reduced their higher LTV deals. Buyers who are looking for mortgage options with a 5% to 10% deposit have been limited in what mortgages are available to them.

35% of buyers have said applying for a mortgage has been harder because the pandemic has affected their income. 36% of first-time buyers say this and 34% of current homeowners agree.

Of the group who have applied for a mortgage, 20% say the COVID-19 pandemic has made the process easier with respect to cost and 22% say the process has become harder due to cost.

We offer property management, property to rent and property for sale in Arnold, Woodthorpe, West Bridgford, Hucknall, Carlton, Wilford, Mapperley and throughout the Nottingham area. If you would like to arrange an appointment to help you negotiate the local buy-to-let market, please contact Holdencopley today by calling us on 01158969800 or emailing steven@holdencopley.co.uk.

 

Looking to sell your property? Take a look at the stunning properties that we currently have for sale in Nottingham, Long Eaton, Arnold, and the surrounding areas.