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'Recession virgins' worried about experiencing negative equity


15/04/2008 10:46:00

Young homeowners aged between 23 and 34 known as 'recession virgins' are nervous about experiencing negative equity due to the dip in the housing market, a study has revealed.

Fool.co.uk's research showed that 16 per cent of Britons are 'recession virgins' and they admit to constantly worrying that their property price may fall even further.

These homeowners have made regular enquiries as to the value of their homes over the past three months.

David Kuo, head of personal finance with the financial experts, said: "Young people who have not experienced previous recessions are understandably worried about the property market."

"It is important to provide as much assistance to first-time buyers because they are the lifeblood of a healthy property market," he added.

An eighth of respondents said they had cancelled plans to move until the market turmoil stops while another eighth said they would consider buying a property if prices continued to fall.

Meanwhile, many first-time buyers are now turning to overseas markets to purchase their first home as they have been priced out of the housing market in the UK.

ADNFCR-8000070-ID-18551669-ADNFCR© Adfero Ltd

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