First-time buyers ‘seeking smaller homes amid higher rents and mortgage rises’

The property website said first-time buyers are increasingly favouring two-bedroom flats.

First-time buyers are increasingly favouring two-bedroom flats, according to Zoopla (David Jones/PA) (PA Archive)

First-time buyers are increasingly favouring smaller properties as they adjust their expectations amid higher mortgage rates and look to get away from rapidly rising rents, according to a property website.

A report from Zoopla said that, while three-bedroom homes remain the most sought-after property type for people taking their first step on the property ladder, “there is a clear shift in (first-time buyer) demand towards two-bed flats”.

The average asking price of a three-bedroom first-time buyer home is £230,000, while the average price tag for a two-bedroom property is around £210,000, Zoopla said.