(1888PressRelease)
May 22, 2007 - Housing charity Shelter's annual ROOF Affordability Index shows that first time buyers are struggling because spiralling house price inflation has not been matched by parallel increases in household incomes.
As a result, Shelter's chief executive Adam Sampson expects repossessions to rocket in the near future - especially as interest rates look set to rise by at least a quarter of a per cent in May.
"These figures show the gulf between those who can afford to buy and those who can't is widening at an alarming rate. For first time buyers, the housing ladder is becoming a housing tightrope," Mr Sampson said.
"Buying a home is becoming an ever-more distant dream for first time buyers and as housing becomes increasingly unaffordable, repossessions are likely to spiral and more families will face the nightmare of homelessness."
Affordability is of particular concern to first time buyers in London, the survey found.
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