Resolution Foundation says tighter credit conditions and falling incomes will hamper efforts to get on to property ladder.
Big house price falls are likely across the UK over the next 12 months but first-time buyers will not find it easier to get on the property ladder because of tighter credit conditions and falling incomes, according to a leading think-tank.
With the UK’s economy falling into its deepest recession on record, and unemployment rising dramatically as the government’s furlough scheme for workers winds down, most analysts are forecasting that house prices will suffer.
But according to the Resolution Foundation, even if average prices collapse by more than 20 per cent, in line with the most pessimistic forecast by the Office for Budget Responsibility — the fiscal watchdog, first-time buyers will still have a harder time buying a property than before the coronavirus crisis.
By George Hammond, please read the full article on Financial Times.