More than a quarter of first-time home buyers were 30 or younger last year – report finds
A new report released today shows that just over a quarter of first-time buyers were aged 30 or under last year.
The report was produced by Banking & Payments Federation Ireland.
The number of first-time buyers (FTB) aged 30 or under has more than halved over the past 16 years, from 60% in 2004 to 27% in 2020.
Some 60% of FTBs were not more than 30 years old in 2004, according to the Ministry of Housing, Local Government and Heritage.
Eight years later, this proportion had fallen to 42%, this figure fell further to 27% in 2020.
The Mortgage Market Profile report examines an array of factors including regional market breakdown, borrower age profile, and a comparison of mortgage repayments by customer, property, and region.
The report shows that homeowners’ levies increased 23% year-on-year in the first half of 2021 to over 14,000, a similar level to the level of levies in the first half of 2019.
First-time buyers represented 67.5% of drawdowns in the first half of 2021, while FTBs purchasing existing properties represented 47.4% of the total.
The median monthly payment for first-time buyers was â¬ 841.
Payments varied from region to region. Dublin saw a median monthly payment of â¬ 1,107, Cork and Galway saw median monthly payments between â¬ 800 and â¬ 900 and all other regions were â¬ 730.
Dublin acquired 31.3% of mortgage loans for the purchase of homes in the twelve months ending June 2021, while the suburban counties of Meath, Kildare and Wicklow each saw 4% of the national market.
Outside of Dublin, Cork had the largest single market with 11.7% of mortgages, followed by Galway and Limerick with 4.8% and 3.8% each.
The report found that self-builds accounted for 37% of FTB mortgages for new properties and almost 47% of movers purchase mortgages for new properties.
In areas outside of Dublin, Cork, Kildare, Meath and Wicklow, mortgages for self-construction outnumbered mortgages for the purchase of new construction.
BPFI Managing Director Brian Hayes said the detailed report provides important information on the Irish mortgage market and gives a very clear picture of the market across many dimensions, age and type of house to house. ‘Geographic location.
âThe most welcome conclusion is that we can see a strong and complete recovery in the mortgage market in the first half of 2021 after the extreme difficulties experienced last year with withdrawal figures to 2019 levels. However, the impact of the restrictions of Covid-19 continues to be felt. be felt on home loans for new properties, with existing homes accounting for nearly 50% of the first-time buyer market, which alone accounts for the vast majority of the overall mortgage market. Added Mr. Hayes.
Mr Hayes said it was “encouraging” to see from the latest figures from the OSC and the Housing Department that there were more than 24,000 housing starts and almost 14,000 completions over the course of the year. of the first nine months of this year.
âDuring this same period, our own data shows that BPFI members have supported clients with nearly 22,000 approved mortgages for FTBs and nearly 10,000 for move buyers and will continue to support people through the country looking to buy or build their new home. âhe said.
The full report can be read here.