First Time Buyers are finding lots of reasons to be positive in the South Hams property market this year. Young professionals looking for an improved quality of life and a good work/life balance are attracted to homes in areas such as vibrant Totnes and the villages and towns in easy reach of Plymouth such as Yealmpton, Modbury, Wembury, Plympton and Plymstock. The average first time buyer paid £311,159 for a South Hams home in February 2023 (source: Land Registry). Rightmove reported in April that nationally “First Time Buyer-type properties have reached a new record price,” likely fuelled by the shortage of rental properties and rising rents.
Good mortgage deals to be had
At the current time there are good mortgage deals to be had with many lenders offering 95% mortgages with a 5-year fixed rate below 5% with no fees, or even lower rates with a fee. Skipton Building Society is offering no-deposit 100% deals. There are also special mortgages to reward first time buyers with cash-back when they choose an energy-efficient home (NatWest for example) or offer interest-free loans for energy-efficient home improvements such as solar panels (Halifax). There is no doubt that with the rise in prices over the last three years, first time buyers are stretched but with options to lend over 30 or 35 years instead of the traditional 25, first time buyers are finding ways to afford their purchase. An additional incentive is that there is no stamp duty for first time buyers in the South Hams on purchases up to £425,000.
Properties for sale in the South Hams for a typical first time buyer
Let’s look at what you can find in the South Hams for a typical first time buyer: The Yealmpton branch are selling a well-presented, modern three bedroom semi-detached property with two parking spaces in the village for £280,000.
In Totnes a three bedroom modern mid-terrace can be found for £350,000.
This two bedroom terraced cottage in Modbury offers individual character at £318,500.
