Surveyors have dubbed the north as the best region for young buyers as the proportion of small deposit borrowers increased in August.

The latest e.surv Mortgage Monitor found small deposit borrowers – assumed by surveyors to be young buyers – saw their market share increase from 22.8% to 24.2% between August and September.

The report suggested first-time buyers are being helped by slowing house price growth.

Large deposit borrowers saw their share fall from 32.5% to 30% over the same period – continuing a decline since July – while mid-market borrowers made up 45.8% in September from 44.7% in August.

Northern Ireland, the north-west, the Midlands and Yorkshire saw a greater number of loans go to small deposit borrowers than their large deposit counterparts.

In Yorkshire, more than a third (33.5%) of loans were to first-time buyers and others with small deposits.

Elsewhere, in the north-west 30.4% of all loans went to this part of the market while in Northern Ireland this ratio was 28.9% and 28% in the Midlands.

London continued to be the market most dominated by larger deposit borrowers, with 40.5% of all loans going to this segment of the market.

Richard Sexton, director at e.surv, commented: “There has been a shift in the market towards young borrowers in September, and it will be interesting to see whether this carries on into October and the rest of the year.

“But with existing home owners trapped on expensive standard variable rates now feeling the cost of higher mortgage rates, the remortgage market cannot be underestimated.

“This was a month for first-time buyers to rejoice, as the number of small deposit borrowers grew on a percentage and absolute basis.

“Mid-market borrowers, often those second steppers moving up the ladder, also saw their share of the market grow in September.”