First-time buyers could access cheap mortgage as house prices drop

As November saw a further drop in house prices many experts believe that first-time buyers will be able to access cheap mortgages in 2011.

Figures from Nationwide revealed that the typical house price in the UK dropped by 0.3 per cent in November, from £164,381 to £163,398.

Nationwide's chief economist Martin Gahbauer said the drop was a "continuation" of recent trends but added an acceleration of the decline does not look likely.

He added: "Much of the weakness in property values since the spring has been driven by a return of sellers to the market, following unusually low levels of property for sale in 2009 and early 2010."

Experts at the first-time buyer advice website firstrungnow.com advise people looking for cheap mortgages to fully research the mortgage market before deciding to take out a particular deal.

A recent Land Registry survey suggested that house prices in England and Wales dropped by 0.8 per cent in October.
 

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2010-12-09 13:24:39 © Moneyextra.com