Experts from Knight Frank and Marsh & Parsons weigh in on the south London property climate in 2018 and if it really a first-time buyers market.
Kris Ericsson: 2018 could be a very good year for first-time buyers. The council for mortgage lenders expect lending for buy-to-lets to fall below 80,000 in 2018, this is down from 120,000 in 2015, allowing first-time buyers wider and more choice when it comes to purchasing their first property with less competition. The new stamp duty relief for first-time buyers (up to £300,000) will save four out of five first time buyers as much as £5,000 on their purchase. This, coupled with another £10bn boost from the government’s help to buy scheme, should put first-time buyers in a good position to finally jump on the property ladder.
John-Paul Burrough: We’ve certainly seen a considerable increase in first-time buyers looking to step onto the property ladder following last year’s changes to stamp duty levies. This is partly due to areas in south-west London having a wide selection of properties that fall into the desired £300k to £500k bracket.
With the continued low mortgage rates, young professionals are quickly figuring out that buying can often be cheaper than renting. If we consider these factors, it’s easy to see why this area of the market is booming, especially with the ‘Bank of Mum and Dad’ now being the sixth biggest lender in the UK. Indeed, we’ve already agreed three sales within the first two weeks of 2018, to first-time buyers!