'First time buyer mortgages' now more affordable

First time buyers are in a better financial position to get a mortgage than they were two years ago, according to the latest Halifax First Time Buyer Annual Review.

The credit crunch has certainly slowed down the rate at which first-time buyers have been clambering onto the property ladder as lenders tightened their belts. But this news is optimistic as house prices have lowered and become more affordable.

Commenting on the figures, Martin Ellis, housing economist at Halifax, said that while affordability has improved "substantially" for first time buyers, they are not out of the woods and into their new home just yet.

"The tightening in lending criteria over the past two years is, however, making it very difficult for some to take advantage of lower property prices and mortgage rates," he said.