While many young adults are struggling to buy their first home, the situation for first-time homeowners is improving.

New figures from debt charity Consumer Credit Counselling Service (CCCS) show that fewer homeowners in their twenties are seeking the charity’s help, down from 4,489 in 2009 to 3,008 in 2011. The number of homeowners in mortgage arrears in their twenties has also almost halved over the past two years. Only 816 clients in their twenties had mortgage arrears in 2011 compared with 1,344 in 2009.

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There has also been a dramatic improvement in the household budgets of CCCS's homeowning clients in their twenties. They have gone from having a budget deficit of £15.02 in 2009 to having a budget surplus of £63.42 in 2011. The budget situation of CCCS homeowning clients in their twenties with arrears has even improved too, rising from a budget deficit of £239.40 in 2009 to having a budget deficit of £113.78 in 2011.

The charity attributes this improving situation to low interest rates which have seen average monthly mortgage payments for its homeowning clients in their twenties going down from £543.92 in 2009 to £471.61 in 2011.

Delroy Corinaldi, CCCS director of external affairs, said: "While many young adults are struggling to get on the property ladder, the outlook is more positive for those that are already on it.

"Nevertheless, this is not a time for complacency as there are multiple pressures attacking their ability to pay their mortgage and many will buckle under the pressure of rising interest rates."

(CD)