First-time buyers offer under asking price

24th July 2006

It appears that first-time buyers are growing in confidence, to the extent that a significant proportion are now prepared to risk offering under the asking price for their first home.

According to the Yorkshire Bank’s latest Housebuyers report, 43% of first-time buyers are willing to put in an offer lower than the asking price. That’s more than double the 19% prepared to do so back in April. The bank’s survey also found that one in four first-time buyers would now consider taking out a 35 or 40-year mortgage to get onto the property ladder.

The people behind this report are attributing their findings to the current stable market conditions.

Gary Lumby, who’s head of retail at Yorkshire Bank, said: “With prices gently rising and a more plentiful supply of houses for sale this summer, the market is a little less competitive, but it remains healthy. This means that buyers can afford to be more patient – starting with a low offer and only increasing it if necessary.”