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  1. ITV Report

First time buyer sales reach highest levels since recession

Monthly first time buyer sales across the UK hit the highest levels since the recession last month, according to leading estate agent figures.

In July nearly 30,000 first time buyer sales across the country were completed, with just over 3,000 of those in Wales.

3,000 first time buyers were sold to first time buyers in Wales last month. Credit: PA

Last month saw 29,700 first-time buyers complete property deals across Wales, England, Scotland and Northern Ireland. That was the highest since August 2007, before the financial crisis struck, when 35,300 were sold.

This month's figure also represents a 28% rise on April 2015's number, amounting to a 6,500 increase over the last three months.

"First-time buyers are experiencing a summer of white-hot activity. The post-General Election bounce has given way to a more stable optimism, as first-time buyers realise that the property market - at least their end of it - is at no immediate risk of being tampered with by the Government. Rather, incentives attractive to first-time buyers - such as the Help to Buy scheme - are running along steadily, while further low-cost housing development is being encouraged to entice more people onto the ladder."

– Adrian Gill, Director of Estate Agents, Your Move and Reeds Rains

The news comes despite the rising immediate costs of buying a home. The average first-time buyer deposit in July totalled £27,975, marking a 10% increase on July 2014's figure.

Last month saw 29,700 first-time buyers complete property deals across the UK. Credit: PA

"This month's particularly high transaction rate is also partially due to expectations that the Bank of England may announce a rate rise sooner rather than later. The thought of months of rock-bottom mortgage rates being brought to an end is encouraging many wavering first-time buyers to jump on the property ladder before repayment costs shoot up. Some may have held back briefly when considering the rising deposit costs. But real wages have been growing too, and first-time buyers are able to shoulder the short-term burden of a slightly higher deposit to spare the risk of losing out on a good mortgage deal."

– Adrian Gill, Director of Estate Agents, Your Move and Reeds Rains