The small deposit (85% loan-to-value and above) lending’s share stood at 19.1% in April, up from 17.1% in March to total 10,985 loans.
Low deposit lending took a bigger share of the mortgage market in April though the overall market slowed, e.surv’s Mortgage Monitor revealed.
The small deposit (85% loan-to-value and above) lending’s share stood at 19.1% in April, up from 17.1% in March to total 10,985 loans.
The chartered surveyors suggested first-time buyers started to fill the gap left by the buy-to-let sector, which experienced a rush in March due to the 3% stamp duty on 1 April.
Richard Sexton, a director of e.surv, said: “With the buy-to-let sector finally stepping out of the spotlight, attention is turning to the bottom of the property ladder.
“This shift has already begun, with the number of deals available for first-time buyers rising quickly, bringing a range of new choices.
“At the moment, first-time buyers don’t appear reluctant to take advantage of new options, whether they be government schemes such as Help to Buy or new mortgage deals.
“Concerns may be being raised about this new variety of offers, and as ever lenders and borrowers should adopt a cautious approach – particularly if the course of interest rates becomes even less certain.”
As a whole house purchase approvals fell by 19.4% between March and April to total 57,512.
