UK needs additional 50,000 homes a year
Data from the Council of Mortgage Lenders recently found that 46% of all housing transactions in 2013 involved first-time buyers.
If demand continues to grow at the same rate as Q1 and Q2 of this year, it is expected that an estimated 50,000 additional new homes each year will be required to satisfy demand.
Ian McGrail, managing director of FirstMortgage, said that the availability of affordable new homes is an issue which must be urgently addressed if the housing
market is to achieve real growth.
McGrail, said: “As a broker specialising in the needs of the first-time buyer market, we have been pleased to witness an increase in mortgage lending, yet the shortage of affordable housing is still a huge problem for potential homeowners.
“We are often able to deliver a mortgage offer in principle to our client’s way before they have been able to find a suitable home, which is frustrating for all involved.”
Persimmon Homes is one of a number of developers looking to ramp up their activity and recently announced plans to build on 85 before the end of the year.
McGrail welcomed Persimmons move and called on other developers to follow suit.
He said: “It is our wish to see other firms follow the example of Persimmon and make a renewed commitment to house building to make homes more accessible and affordable for the nation’s first time buyers.”