Housing correction 'could be good news for first-time buyers'
Published On 1 March 2008
An industry expert has suggested that first-time buyers are going to benefit from a house price correction, despite media reports to the contrary.Paul Holmes, the chief executive of First Rung, said that media reports that stressed that first-time buyers could struggle to afford a mortgage in the coming years could be misleading.
He explained that any correction in UK house prices in the coming year could potentially mean that it is going "to be the best time in the next ten years" for them to get a mortgage and onto the property ladder.
"First-time buyers excel and thrive in the dips. Nine times out of ten, they want to buy in the dips because they want a place to live," Mr Holmes explained.
"And they can only buy a place to live - as opposed to investing - when they can afford it.
"The majority of first-time buyers want to buy somewhere to call home that they can afford, and they take a long-term view."
However, recent research from CreditExpert.co.uk showed that around half of the UK adult population that does not already own a home think that they will never get a mortgage and onto the property ladder.
