Moving costs might have risen but homemovers are not deterred with numbers rising for the first time in three years.
According to Lloyds Bank the number of people moving home in the first half of this year went up by 1% – or 810 – compared to the same period last year.
This might not seem a like a big rise, but it is the first time in three years the numbers of people moving home has increased.
However, when it comes to buying properties, first-time buyers are still dominating the market, according to Lloyds.
Its data showed the number of people buying their first property went up by 5%, with nearly 174,000 getting onto the ladder between January and June 2019.
Andrew Bickers, mortgages director Lloyds Bank, said: “The homemover market has seen some positive movement in the first half of this year, but first-time buyers are still dominant in driving housing activity, helping to keep movement along the property ladder.”
Increasing costs
He thinks the slow rate of home movers was a reflection of growing deposits, higher stamp duty charges and potential interest rate rises.”
Indeed, Lloyds’ figures showed, on average, homemovers were forking out £329,648 – a figure which has soared by 32% over the past five years.
What’s more, it revealed, deposits remained at record highs of over £100,000 for the third year in a row. It said the amount required as a deposit, or in equity for those already on the property ladder, had increased by 22% over this time from £86,000 to £105,260.
Bickers added: “The perfect ‘next’ homes are also becoming less available, such as those with an extra bedroom and outdoor space – which is all in the mix when it comes to the number of movers we are seeing.”
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