First-time buyers are spending more than two-thirds of their take-home pay on mortgage repayments, according to data from Nationwide.
In the last three months of 2022 the typical mortgage repayment rose to consume 39% of a first-time buyer’s net pay, up from 30% a year earlier. But in London buyers are paying an average of 67% of their take-home pay, compared with 51% a year ago.
The hike is partly due to the increase in mortgage interest payments, which doubled to 6% following Kwasi Kwarteng’s mini-Budget in September.
