First-time buyer problems 'magnified in London'

Date:Friday 16th April 2010
Author: Susanna Kavka

People who are trying to get on to the property ladder in London may find that it is especially hard to complete a mortgage deal, according to a representative from one affordable housing campaign.

Spokesperson for Katy John explained that many new-builds in the capital are being snapped up by buy-to-let investors.

She noted that such individuals and companies enjoy tax breaks that make it harder for first-time buyers to compete with them.

In her view, an additional problem is that plenty of young people who are living and working in the city are saddled with significant student debt.

Ms John stated: "Currently, the average house price in London is £333,394, making it difficult for even high earners and couples to get on the housing ladder."

These comments were made in response to a YouGov survey, which showed that 54 per cent of Londoners between the ages of 18 and 35 expect to wait at least a decade before they can purchase their first house.