4 Home Loans

First-time home buyers will find favorable prices in Manchester, in contrast to expensive properties in London.It is possible to live in the center of town with a mortgage of £100,000, according to real estate provider Savills.

Buyers will find reasonably priced one-bedroom apartments in the city centre, something not possible in London, according to Tom Rogers, residential investment consultant for the firm. There are many properties on the market, and Mr. Rogers believes that those in Manchester are priced well.

The city’s recent pattern of growth is continuing, he says. Manchester is a lively city with plenty of action.

Over the next ten years, the city of Manchester will be spending £4.9 billion on local construction projects.

Tightening credit should not make it impossible to get into a new home.So says Darren Cook, head of mortgages at Moneyfacts.co.uk. First time buyers are not as bad off as some may think.

It is still possible to find a lender to help with that first-time investment in property, he says.

First-time buyers seem to be very cautious in light of the uncertainty caused by current market and credit conditions, according to Mr. Cook.

In the past two months, 11 mortgage lenders have lowered their maximum loan-to-value on offer for mortgage products.

Mr. Cook believes that lenders, too, are taking more precautions so it is more difficult to find a loan for 100 percent of the property’s value. Still, there are plenty of opportunities for first-time buyers hoping to buy a home.

There is hope for first-time home buyers in spite of more stringent lending criteria, according to one report.Moneyfacts.co.uk suggests that the current economic situation may actually benefit those planning to buy their first home.

Buyers hoping to get into home ownership may need to make a larger deposit or get a third-party guarantee to get a loan.

Darren Cook, head of mortgages at Moneyfacts.co.uk, says these terms may actually work to the benefit of buyers as they will keep them from getting in over their heads.

Mr. Cook suggests that lenders are still willing to work with first-time buyers, they are simply being more cautious in the loans they fund.

Eleven mortgage lenders have cut the amount of their largest loan amount since December of last year, according to data collected by Moneyfacts.co.uk.