Average FTB mortgage 'almost double 4 years ago'

The average amount being borrowed for first-time buyer mortgages is almost double the level of four years ago, according to Abbey.

Figures released by the lender show that the typical new buyer now has a mortgage of £130,000, almost twice the average of £75,000 that was being borrowed in 2003.

Some 53 per cent of first-time buyer mortgages have a value of more than £150,000, compared to 16 per cent four years ago, according to Abbey.

Furthermore, 80 per cent of new buyers are taking on a mortgage at more than 75 per cent loan-to-value, compared to 67 per cent four years ago.

Nici Audhlam Gardiner, head of mortgages at Abbey, said: "We are fully aware of the difficulties first-time buyers have in getting onto the property ladder. Our research shows that they have to borrow more and more to get even a small foot on the ladder.

"Abbey is absolutely committed to the first-time buyer market and continues to develop new mortgages to give these customers the help they need."

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