x
By using this website, you agree to our use of cookies to enhance your experience.

TODAY'S OTHER NEWS

Make way second-steppers – FTBs account for 11% of market activity

Research by Stipendium reveals that first-time buyers account for one in 10 of all property transactions across England.

The property platform analysed the latest data on stamp duty receipts for residential house purchases at £40,000 or above.

It found that with the property market boom at the height of the pandemic, just over one million transactions were recorded in the year 2020/21. Some 110,700 of these came from first-time buyers – accounting for 11.1% of total market activity.

Advertisement

By region

In terms of total SDLT transactions from first-time buyers, the South East ranks top, with 19,300 completing in the last year. However, this accounted for 10.7% of total market activity – the third-lowest level behind Yorkshire and the Humber (9.3%) and the North East (7.1%).

The West Midlands has proved to be the most first-time buyer-friendly market, with transactions accounting for 13.5% of all market activity in a single year.

Elsewhere, first-time buyers in the East of England accounted for 12.3% of all property purchases, with the East Midlands (11.7%) and, perhaps surprisingly, London (11.2%) also ranking high.

By local authority

Barking and Dagenham places first as the most first-time buyer-friendly area of the property market, accounting for a quarter of all transactions.

Thurrock and Harlow followed close behind, where 24% of annual property purchases came via first-time buyers.

Peterborough, Stevenage and Sandwell also ranked high at 21%, as did Bristol, Oadby and Wigston, Knowsley and Luton (20%).

According to Stipendium’s findings, the worst area to be a first-time buyer are Kensington and Chelsea and the City of London. Not a single transaction came via first-time buyers in 2020/21, with Westminster (3%), Norfolk and Chichester (3.7%) also home to some of the lowest levels of FTB market activity. 

FTBs remain resolute

Christina Melling, chief executive officer of Stipendium, comments: “First-time buyers are facing the highest financial hurdle on record when it comes to getting that all-important first foot on the ladder and the cost of homeownership has climbed considerably in the last two years alone.”

“Despite this fact, they’ve remained resolute in pursuing this life goal and have accounted for more than one in 10 transactions on an annual basis. Of course, the ability to buy does differ drastically from one area to the next and while first-time buyers have accounted for a quarter of all market activity in some areas, they remain completely priced out of the market in others.”

Table shows total resi transactions and the proportion accounted for by FTBs by region and nationally
Location SDLT resi transactions 2020-21 FTBR SDLT transactions 2020-21 FTBR transactions as % of SDLT resi transactions 2020-21
West Midlands 95,900 12,900 13.5%
East of England 121,400 14,900 12.3%
East Midlands 90,700 10,600 11.7%
London 120,300 13,500 11.2%
South West 116,500 12,900 11.1%
North West 132,500 14,300 10.8%
South East 181,100 19,300 10.7%

Yorkshire and The Humber

96,900 9,000 9.3%
North East 45,000 3,200 7.1%
England 1,000,300 110,700 11.1%
     
Table shows the areas with the highest proportion of FTB transactions
Location SDLT resi transactions 2020-21 FTBR SDLT transactions 2020-21 FTBR transactions as % of SDLT resi transactions 2020-21

Barking and Dagenham

2,400 600 25%
Thurrock 2,900 700 24%
Harlow 1,700 400 24%
City of Peterborough 3,700 800 22%
Stevenage 1,400 300 21%
Sandwell 3,400 700 21%
City of Bristol 7,900 1,600 20%
Oadby and Wigston 1,000 200 20%
Knowsley 2,500 500 20%
Luton 2,500 500 20%
Table shows the areas with the lowest proportion of FTB transactions
Location SDLT resi transactions 2020-21 FTBR SDLT transactions 2020-21 FTBR transactions as % of SDLT resi transactions 2020-21

Kensington and Chelsea

2,300 0 0.0%
City of London 300 0 0.0%
City of Westminster 3,300 100 3.0%
North Norfolk 2,700 100 3.7%
Chichester 2,700 100 3.7%
Camden 2,600 100 3.8%
Scarborough 2,600 100 3.8%
Blackpool 2,500 100 4.0%
Rother 2,300 100 4.3%
Darlington 2,200 100 4.5%
icon

Please login to comment

MovePal MovePal MovePal
sign up