Hoping to get on the first rung of the property ladder for £120,000

17-Jan-2006

Aspiring homeowners are still trying to purchase their first property for an unrealistic price, warns a new survey.

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Around 58 per cent are hoping to spend less then £120,000 to get onto the housing ladder, which is noticeably short of the £144,509 needed for the average first property.

However, the results of the survey, carried out by Alliance and Leicester, showed that the message of setting aside more money is filtering through, as the number of people willing to pay this much had increased by ten per cent over that last four months.

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Finding a property for under £120,000 involves careful research and compromise, explains the study, although it would mean that buyers are spared the expense of stamp duty.

Those in their 20s were looking to spend the least, with 69 per cent sticking to a maximum budget of £120,000, while men were found to be more likely to intend to buy under the stamp duty threshold.

Despite these concerns over the amount of money potential buyers have to spend on a property, industry predictions indicate that 2006 will see the return of the first time buyer.

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