"News that mortgage lending took a turn for the worse in October with an 8% monthly decline comes as little surprise, given the backdrop of rising unemployment and fragile confidence. These conditions highlight the difficulties facing first time buyers, particularly where stringent deposit requirements continue to be a major barrier to those wishing to enter the market. Aggressive interest rate cuts by the BoE in recent months and the prospect of more to come before Christmas will take time to filter through into increased house sales. The Government's decision to consult on RICS proposals for a tax free saving scheme for first time buyer deposits is one of several steps required to achieve a more orderly transaction market."
