<>

Hennessy Bowie Solicitors News

Hennessy Bowie & Co has been practising in Bishopbriggs for some twenty five years, principally in the areas of domestic conveyancing, commercial conveyancing, commercial leasing, executries and matters relating to care for the elderly,

  • Home
    Home This is where you can find all the blog posts throughout the site.
  • Categories
    Categories Displays a list of categories from this blog.
  • Tags
    Tags Displays a list of tags that have been used in the blog.
  • Bloggers
    Bloggers Search for your favorite blogger from this site.
  • Team Blogs
    Team Blogs Find your favorite team blogs here.
  • Login

First-Time Buyers in Scotland

Posted by on in Conveyancing
  • Font size: Larger Smaller
  • Hits: 5816
  • 0 Comments
  • Print

Recent figures from the Council of Mortgage Lenders (CML) have revealed that there were 7,500 first-time buyer loans in Scotland in the third quarter of 2014. This is a fall of 1% on the previous quarter, but 15% up on Q3 2013.

In total, first-time buyers in the period borrowed £810 million - up 1% on the previous quarter and 23% on Q3 2013. This was apparently the highest quarterly total lending value since mid-2008.

The CML explains that this may be partly the result of first-time buyer affordability, with first-time buyers typically borrowing 2.94 times their gross income. This is less than the 2.98 income multiple in the second quarter and less than the UK average of 3.41.

The typical loan size for first-time buyers was £98,307 in the third quarter, up from £95,000 in the previous quarter. The typical gross income of a first-time buyer household was £33,516 compared to £32,273 in the second quarter.

The relatively low level of interest rates saw first-time buyers' payment burden remaining relatively low in the third quarter, with 17.3% of gross income being spent to cover capital and interest payments. This is higher than 16.7% in the second quarter but a smaller proportion of income than the 19.6% UK average.

“The past two quarters have seen the highest house purchase lending levels in Scotland since 2008, suggesting the market has remained robust over the past six months, despite the new FCA mortgage market rules introduced in April,” commented Linda Docherty, chair of CML Scotland. “The surge in first-time buyer lending has been one of the stories of Scotland's economic recovery.”

Contact Us

Our specialist solicitors can help you buy or sell property in Scotland. To make an online enquiry please click here or call us on 0141 775 0005.

 

Hennessy Bowie & Co has been practising in Bishopbriggs for some twenty five years, principally in the areas of domestic conveyancing, commercial conveyancing, commercial leasing, executries and matters relating to care for the elderly.

Comments