The FINANCIAL — The number of first-time home-buyers in Scotland has fallen to the lowest level in more than 30 years despite an improvement in affordability, according to a report,according to London Stock Exchange.
About 17,000 people bought their first house this year, 4% lower than last year and less than half the peak figure of 39,100 in 2006.
The latest Bank of Scotland First Time Buyer Review found it was the lowest annual total since 1976, saying the need to place bigger deposits was an important factor in explaining the decrease.
The report said the average deposit for first-time buyers in the first 11 months of the year was £22,396. While this was 9% lower than in 2010, it compares with £12,794 in 2007.
But figures reveal that 77% of towns and cities in Scotland are affordable for those on average earnings wanting a foot on the property ladder. It is the sixth most affordable of the 12 UK regions.
Nitesh Patel, housing economist at Bank of Scotland, said: "Housing affordability for those looking to get on to the property ladder for the first time has improved significantly over recent years, largely as a consequence of the decline in house prices since 2007.
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