Abbey Mortgages: North-south divide widens for first-time buyers

www.moneynews.co.uk > Santander > Abbey Mortgages: North-south divide widens for first-time buyers

Abbey Mortgages: North-south divide widens for first-time buyers

Wed 5th Sep 2007

The gap between house prices in the north and south for first-time buyers has escalated in the last ten years, Abbey Mortgages has claimed.

In 1997, house prices for first-time buyers in London were 30 per cent higher than those in Liverpool and Manchester at an average of £44,379.

Nowadays, Londoners looking to get on the property ladder will spend, on average, £186,025 - which is almost double what is paid in the north-west.

Similarly, the difference in the amount borrowed by first-time buyers in London and the northern cities has increased from eight per cent to 31 per cent over the period.

However, Nici Audhlam-Gardiner, Abbey head of mortgages, said that the widening has done little to dampen demand for first homes in the capital.

"Perhaps it shows that people in the south want to buy now - expecting prices to continue rising at a rapid rate, whereas buyers in the north feel they have less to gain in jumping on the property ladder."

Abbey claimed last month that an increasing number of first-time buyers are turning to mortgage brokers for advice.

Related News : Santander
	FSA fines Santander 1.5m
	Santander launches new fixed rate Isas
	Santander launches upfront interest bond
	Contactless banking 'still has some way to go'
	Santander reveals updated fixed mortgage rates
	Confidence of first-time buyers increases, suggests survey
	Santander launches fixed-rate mortgage range
	Third of parents would pay extra for school catchment property
	Santander offers first monthly cashback credit card
	Bank of England maintains bank rate at 0.5 per cent