18
Feb
House prices 'cheaper than renting' for first-time buyers
First-time buyers are now better off purchasing than renting in
most parts of Britain, a new report has said.
The study by Abbey concluded that those who could afford a 25 per
cent deposit would save up to £1,000 a year by buying a home
instead of being a tenant, with the greatest difference in monthly
payments being in the north-west.
Only in London and East Anglia is it still cheaper to rent, the
research concluded, with mortgage payments remaining higher in
these locations.
Director of Abbey Mortgages Nici Audhlam-Gardiner commented: "The
tide is turning in favour of first-time buyers," adding that those
who invest in a home for the long term "could make significant
savings".
First-time buyers have seen affordability improve due to recent
house price falls.
New statistics from the Department for Communities and Local
Government have revealed a 10.2 per cent drop in prices over the
course of 2008.
