The latest mortgage statistics from the Council of Mortgage Lenders have outlined that the first-time buyer market marked a disappointing low as it squeezed to over 34% in July, compared to 38% recorded for the preceding month. The current figures reflect the lowest proportion witnessed since August 2007.
With the fall in first-time home buyers have landed economists in a jittery position, as they fear a further fall in the housing market.
These buyers account for a typical deposit of 24% of the current value of their home. However, it was 21% in April.
"It is also notable that mortgage approvals to first time buyers actually weakened in July, which suggests not only that they may be becoming more reluctant to move into the housing market in the current uncertain economic environment. It also suggests that first time buyers are finding it hard to get mortgages", posted Howard Archer, of economists Global Insight.
The recent figures have claimed that the number of loans for new houses that received approval marked a climb to 56,000 in July, compared to 52,000 witnessed in June. However, the figures still remains highly low as against the long term averages.
It is cited that the mortgage market is captured by the affluent.