Rising prices and less spending power means first-time buyers are worse off than a year ago

Daft Mortgages' general manager Paul Monahan says people buying their first home are having to borrow more cash — on which they will be paying a higher interest rate than heretofore. File Picture: Unsplash

First-time buyers hoping to purchase a home in the next six months are in a worse financial position than this time last year, with less spending power and rising house prices meaning higher mortgage repayments, a new analysis has found.

With average house prices rising by around €30,000 in the last year and less money for a deposit, those buying their first home this year could face paying an extra €700 a year in mortgage repayments as a result, according to the audit by daftmortgages.ie.