The availability of mortgages is on the rise providing welcome news for one of the key sectors of the property market, first-time buyers. According to the Council of Mortgage Lenders (CML), the number of loans to first-time buyers recently hit a two year high with loans rising by 26% both by volume and value. First time buyers are also able to take advantage of the change in stamp duty where properties under £250,000 are now exempt from this tax.

In addition, gross mortgage lending in March to all sectors increased to an estimated £11.5 billion, a 24% rise from February, according to the CML.

According to the financial information service, Moneyfacts, the number of mortgages available is up 20% compared with the start of the year. Some of these include deals requiring a relatively small deposit of 10%. There are now 70 products available in the market for borrowers with a deposit of 10 per cent or less.

John Lineham, Financial Services Director from Beresfords, comments: “These figures are a continuation of the trend we have seen over recent months. There is currently much more competition in the market which has resulted in lenders cutting their rates, making borrowing more affordable for all.”

“The fact that we have seen an increased level of activity for first time buyers is very positive news and will help a lot of other people who are in a chain looking to move. If more first time buyers are looking to buy other people will move in all price ranges as a result.”