UK First Time Buyers Market Trends Report 2018 - ResearchAndMarkets.com

DUBLIN--()--The "First Time Buyers Market Trends Report 2018" report has been added to ResearchAndMarkets.com's offering.

The First Time Buyers Market Trends Report 2018 provides an overview of the UK FTB mortgage market which has witnessed a period of strong growth in the last few years.

In 2017, the number of First Time Buyers (FTB) mortgages taken out rose by almost 6% and the amount borrowed rose by around 7%. This followed on from very rapid growth in 2016, when the number of mortgages arranged rose by around 9% and the value of money borrowed rose by around 14%.

FTBs face mounting obstacles to buy their first homes, including house prices rising faster than incomes, a lack of house building, rising rental costs and more stringent lending criteria on mortgages.

In response to these problems FTBs have:

  • Increasingly stretched mortgage terms
  • Been more willing to buy jointly even if they are unmarried
  • Exploited the opportunities to borrow on higher income multiples
  • Sought to buy in lower cost markets
  • Relied more heavily on financial support from family and friends
  • Used Government financial support schemes, which have allowed FTBs to buy more expensive properties and to buy at an earlier age than otherwise would have been the case.

At the end of 2017, FTBs collectively owed almost 240 billion in outstanding mortgages: between 2007 and 2017, the amount owned has more than doubled.

The author estimates that between 2017 and 2022, the number of mortgage advances by FTBs will rise by over 18%, while the amount borrowed each year will rise by 31%, so that in 2022 almost 80 billion will be borrowed to finance a first home purchase.

In the future, the author expects the FTB mortgage market to become more streamlined and efficient as more technology is used to speed the application and conveyancing processes and improve the communication and links between intermediaries and lenders.

Key Topics Covered:

1. INTRODUCTION

  • Abbreviations

2. EXECUTIVE SUMMARY

  • Industry Structure and the Main Market Participants
  • Market Development and Trends
  • Market Size, Trends and Forecasts

3. MARKET STRUCTURE

  • Four-Tiered market
  • The Six Mortgage Stages
  • Mortgage Lenders
  • Mortgage Brokers

4. MARKET DEVELOPMENTS AND DRIVERS

  • It gets harder to buy your first, or any, home
  • As the UK faces a fundamental problem of lack of housing supply
  • And it gets harder for FTBs to buy without financial support
  • Mortgage Market Review tightens lending criteria
  • So FTBs adopt new strategies
  • But, while it's hard to buy, it's even harder to rent
  • The Government tries to help
  • Help to Buy Equity Loan Scheme
  • Help to Buy: mortgage guarantee
  • Help to Buy ISA: over 100,000 properties purchased
  • Help to Buy: Shared Ownership
  • Government adjusts Stamp Duty Land Tax (SDLT) for FTBs
  • FCA calls for better access to information

5. THE KEY PLAYERS

  • Nationwide the largest single provider with LBG the largest group provider
  • Lloyds Banking Group
  • Nationwide
  • RBS Group
  • Santander
  • Barclays Group
  • HSBC Group

6. MARKET SIZE AND TRENDS

  • Introduction
  • 55 billion advanced in 2017
  • FTBs now owe almost 240 billion
  • FTBs account for around 24% of new advances

7. THE FUTURE

  • An uncertain future
  • Forecast assumptions
  • The Forecast
  • Technology to play a growing role in the market

8. ASSOCIATIONS

Companies Mentioned

  • Barclays Group
  • HSBC Group
  • Lloyds Banking Group
  • Nationwide
  • RBS Group
  • Santander

For more information about this report visit https://www.researchandmarkets.com/research/vq5z4j/uk_first_time?w=4.

Contacts

ResearchAndMarkets.com
Laura Wood, Senior Manager
press@researchandmarkets.com
For E.S.T. Office Hours Call 1-917-300-0470
For U.S./CAN Toll Free Call 1-800-526-8630
For GMT Office Hours Call +353-1-416-8900
Related Topics: Mortgages

Contacts

ResearchAndMarkets.com
Laura Wood, Senior Manager
press@researchandmarkets.com
For E.S.T. Office Hours Call 1-917-300-0470
For U.S./CAN Toll Free Call 1-800-526-8630
For GMT Office Hours Call +353-1-416-8900
Related Topics: Mortgages