Why would anyone buy now when prices will be cheaper next year? First time buyers will come back when the price correct to reasonable levels, and more probably when prices fall beyond reasonable levels. My guess would be in 2-3 years time...

mnr, london,

As Tim said there are a lot of us "baby boomers" around - we are cash buyers. I have just had an estate agent on the phone saying that a house previously on the market at £225K could be ours for £190K - an offer we made that they turned down only 8 days ago!

Stephen, Northants, England

Much misinformation doing the rounds. Banks and building societies are still lending around 4.25 times income to those with a 10% deposit.

What this shows is that house prices are too high still. Its not mortgage shortage-its house prices that are the problem.

Once they have fallen- no problem

M Reid, Northampton,

Figures such as these are frequently taken out of context.
Often it's the increase in value of the property that funds the deposit of the next one. Something thats seldom mentioned is money inherited - in my experience most people plough this straight into their own property.

Mike, Edinburgh,

In Ken's defense, Banks do not lend 3 times joint salaries. Its normally 3 x the higher plus one times the lower.
So best case scanario for Mr and Mrs average wage first time buyers would be: £26K x 3.5 = £78K + £25.999K x 1 = £25.999K
Total available from lender= £103.999K ie £111K dep req

RP, London,

buy a caravan instead :)

jason palmer, london,

Ken, you also forget those who have owned properties for years and have NO mortgages, that's 25% of ALL purchases, so your calculations and incomes are irrelevant.

Tim, Bristol,

I'd disagree with Ken's statement about Mr Average not being able to join in. A number of purchasers are likely to be couples taking out a joint mortgage. Divide your figure of £56,472 by two and you get just over £23,000. There is at least a glimmer of hope for couples! Now to find that deposit...

Andrew, London,

Ken, you and most other commentators seem to forget that in most circumstances there are two wages paying the mortgage and being jointly assessed for the mortgage multiples. So there's not that much difference between £46,000 combined ave wage and the £56,472 that you compute.

Dan, London, UK

Looking at the averages :-

Average Price £215,029
Average Deposit £ 47,306 22% of price
Average Mortgage £167,723

Average wage of buyer £56,472 2.97% of Mortgage

UK average wage is £23,000. Looks like we have a long way to go before Mr Average joins in.

Ken, Derby, England