Fresh research from the Halifax reveals that first-time buyers are finding it harder to purchase property in rural areas compared to those buying in urban areas.

The research shows that in 2004, just 16% of housing transactions in rural areas involved first-time buyers, compared with 27% in 1994.

Martin Ellis, chief economist at Halifax, said: "It is very difficult for first-time buyers to get on to the housing ladder in rural areas. Prices are higher than in urban areas and the number of rural first-time buyers is in serious decline."