Deposits £5,000 higher year-on-year
Homebuyer deposits cost £5,000 more than last year in the first six months of 2016, research from My Home Move has revealed.
They typically purchased homes with a deposit of £55,000, up from £50,000 in the first half of 2015.
In London deposits increased by £18,000, owing to a 13.6% annual increase in house prices.
In the North East they decreased by 1.78% however as house prices only rose slightly.
Doug Crawford, chief executive of My Home Move, said: “The decrease in deposit percentages indicates that the measures introduced by the government to ensure easier lending across the mortgage market, have had a positive impact, especially for those outside of the capital.
“However, while this may sound like great news for homebuyers, the reality is somewhat different. The rise in property prices means that in real terms this decrease actually translates into increase in the majority of regions.
“For those looking to buy in Wales the increase, on average, is only a few hundred pounds, but for those in London or the South East this translates into thousands of pounds.
“For many, their deposit will come from the equity in the property they are selling. However, there are still a large proportion of home buyers who will need to save thousands of pounds more, to make the move onto and up the property ladder.”