First-time buyers should find it easier to get on the property ladder in two-thirds of local authority areas in Scotland, according to new research.

The Bank of Scotland said yesterday that homes had become significantly more affordable for those on average earnings in 20 out of 30 council areas - just over double the rate of last year.

Falling house prices and interest rates at their lowest for a generation have helped, in theory, to make purchasing easier.

In total, 11 new areas have been judged to be within reach of those entering the market for the first time, from Argyll and Bute to Dundee City, East Renfrewshire and West Dunbartonshire.

An affordable house price is judged to be a maximum of four times the homeowner's salary, with the Bank of Scotland claiming that the formula was a conservative one given that many people jointly buy a home.

But scepticism was aired yesterday over the validity of the research, given that many first-time house-hunters would not be granted a mortgage given the much tighter lending criteria that have been enforced in the past year, and the need for a substantial deposit.

The Bank of Scotland itself will only approve a first-time buyer a loan to the value of 90% of the total house price, leaving a deposit requirement of up to £14,700, based on the average price in Scotland.

John Perkin, financial services director at estate agents Slater Hogg and Howison, said: "I understand where they are coming from in terms of affordability, given the drop in base rates, but many first- time buyers find themselves excluded from the market because they do not have a deposit.

"Banks such as HBOS and Royal Bank of Scotland have substantially tightened their lending criteria. Last year was the tightest I can remember, with most lenders wanting a 10% to 15% deposit, and unless they can go to the bank of mum and dad, many people just did not stand a chance.

"Someone who has a mortgage of 90% of more is looking at interest rates of 6% above the base rate. The banks have become very, very cautious about lending at this risky level. Those seeking first-time mortgages do not get cheap deals on mortgages."

Latest figures from the Council of Mortgage Lenders show that, between July and September, there were 5300 loans granted to first time buyers - 1300 fewer than in the three months before. The typical first-time buyer put down a deposit of 16% in the third quarter of 2008.

Crawford McCaughie, chairman of CML Scotland, said: "Our view is that the number of first-time buyers is reducing. It is fair to say that buying a house is cheaper at the moment if your salary remains the same, but if you can't get a mortgage it doesn't matter how cheap the property is - it will remain unattainable."

Estate agents across Scotland yesterday agreed that there were more affordable properties for first-time buyers, given the property slump, but noted that it was the finance that remained out of reach for many.

"There has never been a better time to buy as a first-time buyer. Stamp duty has been changed to benefit those entering the market and there is affordability in the market. However, it is the deposit which remains the sticking point," said a partner in an East Renfrewshire estate agency.

Linda Black, of JC Roxburgh in Troon in South Ayrshire described the market as "dire".

"I would say I am selling a property a month and I have no first-time buyers on my books. I wish I did, as they would help to get things moving again."

A New Supplied Shared Equity Scheme offered by the Scottish Government has been set up to support first-time buyers, who pay between 60% and 80% of the property value with the remainder offered by the government, who will then hold a security over the proportion of the stake it has funded. The money is returned on sale at the market value.

Home Reports, which give information on a property to a potential buyer, are seen by some as a way to protect first-time buyers by including a property value in the document. This could eventually remove the "offers over" bidding system.

Across the UK, the proportion of local authorities where housing is affordable for a first-time buyer has more than trebled this year, from 4% to 14% of council areas.

Case Study: I think it would be very difficult for a first-time buyer now. I don't envy them'

Clarkston sits on the south side of Glasgow and formally rests within East Renfrewshire - an area now deemed to be affordable for first-time buyers.

But for married teachers Victoria and Neil Armet, the area would have been way out of reach had they not managed to secure a mortgage in 2006 before tighter lending criteria set in.

Both were keen to live in the area as Victoria, 25, had grown up in Clarkston and was happy to stay in familiar surrounds that were close to Glasgow.

They doubt that they would have been able to buy the house they live in now if they were applying for a mortgage today.

Mrs Armet said: "I think it would be very difficult for a first-time buyer here just now. I really don't envy them.

"It was difficult for us a couple of years ago because there were so many people going for the same property and it went for so much more than it was actually worth. It just wouldn't be like that now."

The couple went to the now-collapsed Northern Rock in the end, after trying several lenders for a mortgage, and were offered a 100% loan.

"We realise that now we would need a large deposit to secure a home. This is not an area you really associate with first-time buyers. I think we have probably been quite lucky."

Lyndsey Mercer, estate agent at Clyde Property in Clarkston, said that homes in the Stamperland area of Clarkston, where the Armets bought their property, had become more attainable for first-time buyers.

Young married couples and growing families are particularly attracted to the area because of its desirable schools.

A typical semi-detached home in the area would go for around £140,000, whereas in the past it would have reached an asking price of £160,000, Ms Mercer said.

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