First time buyer affordability in the UK is at an eight year high but fewer are buying properties, new research from one of the biggest lenders reveals.
The average deposit is down 15% but the total number of first time buyers is at its lowest since 1974, according to the Halifax First Time Buyer Review which tracks housing affordability across the UK.
It also found that there is a major regional divided with 75% of areas in the North affordable compared to just 5% in the South of the country.
The average house price paid by a first time buyer in November 2011 was affordable for someone on average earnings based on the ratio of the average house price to earnings being below the long term average of 4.0 in 44% of all local authority districts (LADs) in the UK.
This is the highest it has been since 2003 and compares with 42% in 2010 and just 5% at the peak of the housing market in 2007.
