Read the latest Junaid Iqbal Mohammed Memon blog. Junaid is an experienced property developer based in Dubai and in London. Coming from a business-oriented family, he has learned some business secrets at an early age, which has inspired him to forge his own path and make for himself in the real estate and property development industry. To date, he has several businesses in the UK and in Dubai and he also has several completed development projects under his belt.

First-time property buyers in London now have to put down deposits that are high enough to let then buy an entire house on the spot anywhere else in the country. Average starter homes in the capital now cost an average of £420,000. This means that buyers will have to shell out a whopping £114,952 if they are to cover the 27% required deposit. Still, despite the deposit reaching such eye-watering levels, the number of first-time property buyers in London seems to be increasing.

It is worth noting that this particular deposit would be more than enough to comfortable purchase on the spot a terrace house with three bedrooms in Scarborough on North Yorkshire. It can buy a cottage with two bedrooms in one of the villages in the Midlands. It can also get one a smart flat with two bedrooms in parts of Essex or in Norfolk. Still, despite the prohibitive costs of entry, the number of first-time property buyers in London seems to be steadily rising.

Last year alone, more than 150,000 were able to successfully get on the property ladder. This is certainly a good figure especially when compared to the 72,700 recorded back in 2009, back when the country was in the depths of a recession. According to research though, this has been made possible thanks to parents that are handing over huge lumps of cash to their children in order to help them on to the housing ladder.

Only about 35% of people aged 18 to 34 intend to work on saving up for a deposit. Most of these people intend to stay at home until such time as they can finally afford to purchase a place they can call their own. This could be a sensible decision though especially if one were to consider how costly the rents in London are.

An average property in London will have an annual rent of about £20,000 a year.  More recent data shows that by average, a London renter will have to pay around £1,615 every month for rent- something that has actually increased by 3% when compared to how much they were paying last year. Meanwhile, rent in the rest of the country is at £777 per month, which is up by a percent from the figures last year.

The increase in the rent price means that those who belong in the Generation rent now have to spend a third of their overall income on housing costs. This leaves them with very little wriggle room when it comes to saving for a deposit.

As of the moment, the average age for people that can finally afford to buy property for the first time has gone up to 31. Still, their number seems to continue to grow and is even nearly back to its peak as was seen in 2006.

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