EMBLEM HOMES CONSIDERS PLIGHT OF FTBS

There has been a great deal of speculation in recent months about the state of the property market. Some predict a 30 per cent fall in prices - in line with the long-term trend in the house-price-to-income ratio. On the other hand, interest rates are at the lowest levels since the 1950s and many feel that a return to the boom and bust times of the 1980s will not be evident - despite that niggling feeling of doubt that never quite disappears.

One common theme that does emerge is that first-time buyers, or FTBs as they are often called, are becoming increasingly priced out of the market which, in turn, will have a dramatic effect on buyers and sellers further up the property ladder.

Despite indicators predicting that house prices are slowing down for the most part, this is little comfort for FTBs, when many are not even remotely close to reaching the minimum deposit and financial position to apply for a mortgage. Realising their plight, they compromise on property type and location only to discover that prices have risen further and, once again, beyond reach.

For many property development companies, FTBs should be viewed as an attractive market; they have no chain, they often make the decision to buy relatively quickly and once on the property ladder they can become customers for the long term - usually with increased spending power over time. But all too often very little is done to actively attract this market segment.

Emblem Homes, working as part of the Places for People Group, have a number of initiatives in place to help people that are struggling to acquire their first home. The company's ethos is to offer real benefits to FTBs through the product itself and not gimmicks. A number of schemes nationwide are working towards creating balanced communities, not just homes for the privileged few that can afford them.

One such scheme is Altham Gardens, located in South Oxhey, near Watford. The 118-home development has a range of homes including six 'homebuy' properties, which are discounted sale homes, and six 'keyworker' homes. Although the development has a wide range of house styles, each home is built to the same high-quality specification as the homes for private sale, so residents can easily become an integral part of the community.

Other schemes offer low-cost options for private sale. The average price that FTBs pay for a house has now crept over the ?100,000 mark, yet in Newcastle-under-Lyme Emblem's 'the Mount' comprises 36 two-bedroom apartments that are attractively priced at between ?79,950-?93,950. Even in the early stages, these homes have gained overwhelming interest from young professional FTBs that may otherwise find it difficult to step on to that first rung of the ladder.

Damian Southworth, Managing Director of Emblem Homes, said "Emblem understands the urgency of the problem facing FTB's - it is evident across large parts of the country. We are working towards making a difference, but a range of industry bodies and departments must work together on initiatives before any significant resolution is evident."

For more information please contact- The Places for People Group 10 Clifton, The Whitehouse, York YO30 6AE Tel: 01904 650 150 Fax: 01904 673 747