First time buyers 'will always struggle'

Posted: 27 Jul 2009 10:23:07 GMT

Entering the property market for the first time is likely to remain difficult, according to one property expert, despite speculation from some that prices will continue to fall.

Independent property specialist Malcolm Harrison said that historically every first purchase is a "pretty major step forward".

"It's always been 'poor first time-buyers', they've always had a bit of a struggle.

"It's no different from their father's generation or their grandfather's generation," he added.

Mr Harrison's comments follow reports from the Bank of England which says that the housing market is improving as more people enquire about and buy properties.

The bank's Summary of Business Conditions suggests that house prices are stabilising and, in some areas, experiencing modest rises.

Further price-falls could be on the way however, according to PricewaterhouseCoopers.

The firm's economic outlook published last week warns that although there have been some signs of recovery, levels of unemployment and limited mortgage lending could contribute to even lower house prices.

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