Buyers face five-year wait for home of their own

The time needed by first-time buyers to save to get on the property ladder increased by 11 months during 2006 – to four years and 11 months – according to new figures from Stroud & Swindon building society.

The mortgage lender found that people buying their first home in the UK had to accumulate an average of £9,844 for a 5 per cent deposit, legal fees and stamp duty – against £7,606 in 2005.

But there are huge regional variations: buyers in London, unsurprisingly, were worst hit, facing a wait of seven years and five months on average to save £20,816. House price inflation means that many first-timers in the capital are now breaking the barrier at which 3 per cent stamp duty becomes payable.