There has been further evidence that first time buyers are starting to return to the housing and home owner loan market, as new research from Unbiased.co.uk has shown that more than half (51 per cent) of all their enquiries during the month of September, came from first time buyers who were looking for an independent financial adviser or loan broker to help them find the home owner loan or mortgage they needed.

The next most popular area for advice was in the remortgage area, at just over a third, followed by buy to let loan enquiries reaching their highest point at 17 per cent of all enquiries.

It is a welcome sign that first time buyers are returning to the housing and home owner loan markets, as this sector provides the base for other areas of the market to move. It seems likely that many potential first time buyers have been waiting for house prices to reach their lowest point before buying, whilst using the time to save up a sufficient deposit to meet lenders’ strict criteria on loan to value levels and these factors, coupled with low interest rates and a range of new loan products aimed at first time buyers, makes it an ideal time for them to get on the housing ladder.

Karen Barrett of Unbiased.co.uk commented on the return of the first time buyer, but advised them to take advantage now, before regulation becomes even tighter on loans. She said “It appears many have been biding their time but now feel they are in a position to investigate what’s on the market and take the first steps by seeing a whole of market mortgage adviser to advise them on their mortgage options.

In light of the recent FSA proposals on a review of the mortgage market, there could be a future dip in enquiries from first time buyers as, with increased regulation, mortgage lending criteria could become even stricter.”