This is a guest post written for us by Alex Martin.
The economic crisis seems to be going nowhere as financial difficulties continue to sweep the globe. No sector of the UK is safe as cuts are made to public and private sectors alike.
Some slightly good news has cropped up, however, as it was reported by The Guardian that job vacancies have risen by 4% in the past year, meaning that the number of those unemployed may finally be starting to decrease.
Vacancy deficiency
It’s not all good news however as, alongside job vacancies increasing, the average wage has decreased at almost exactly the same rate as job inflation. The average advertised wage has dropped by 4.4%, whilst some in the public sector have seen decreases of almost 10%.
How much job seekers suffer is not only affected by their age (there is still a record number of 16-25 year olds unemployed) but by location also. Locations such as Guildford, Reading, and Oxford are thriving according to figures by Indeed, though not all areas are so lucky.
Blackpool and York have seen a significant drop in job vacancies, whilst Rochdale, Hull and Lanarkshire are offering significantly fewer roles than there are inhabitants of the cities, making them the worst places to find a job in the country.
Perfect storm
Such difficulties in finding a job, coupled by the fact that the jobs on offer are experiencing pay cuts, mean more people than ever are struggling to enter the housing market.
The Sun recently reported that the average age of a first time buyer is now 40, while the average age in the 1960’s was far younger at 24. People are reporting that they are having to save for up to 10 years, whilst one in five people are fearing mortgage repayments when they finally start to climb that illusive ladder.
Many young people are suggesting one of the major problems in joining the housing market comes to the high rent prices draining their finances and ability to save for a deposit. Considering the cultural rite of passage owning a house provides, many feel depressed by the prospect of renting for life.
The financial sector is starting to realise first time buyers are struggling and so many institutions are attempting to help them out with a range of mortgages.
If you aren’t quite sure what kind of mortgage is right for you, I would check out the types of mortgage at ybs.co.uk as they talk through pretty much all the different variations in detail, including one specifically designed to help first time buyers enter the market. With incentives such as £1000 cash back and the elimination for higher lending charges, there may be light at the end of the tunnel after all.
