Election policies 'do little for first-time buyers'

The three main political parties are not doing enough to help first-time buyers in their election manifestos, according to one property writer.

Writing in the Times, Lucy Alexander suggested that Labour and Conservative party policy implying that stamp duty relief is a solution to the lack of young people getting on to the property ladder has failed to help.

She pointed to figures from GfK Financial, which showed purchases among first-time buyers at a 17-year low and Ms Alexander believes stamp duty might not be "the real problem".

Furthermore, she stressed the difficulty of saving for a deposit often equating to 25 per cent of the value of a property, together with stringent credit checks.

The Independent reported recently that deposits had increased by around 400 per cent over recent years, leaving individuals needing to use an average of around 64 per cent of their annual salary.

"This is almost impossible for people in their 20s, especially those living in London, owing to a combination of rising rents, high graduate debt, an uncertain job market and low interest rates," she added.

News of continuing problems for buyers may attract more people to look for property to rent in the London borough of Lewisham, or elsewhere in the UK.

By Martyn Glynn

Published 23rd April, 2010

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