11 Dec 2020
The pandemic has actually strengthened the resolve of first-time buyers in the UK.
They have become more determined to follow their home ownership dream and save more to get a foot on the housing ladder, new research has revealed.
The study commissioned by the Yorkshire Building Society found that 61% of respondents said that buying a home is more important to them now than it was at the start of the Coronavirus outbreak. Over a third expect to buy their home sooner due to the pandemic, and 44% said they had been able to save more for their deposit as a result of the impact of Covid-19.
Despite this determination, buyers still face challenges when securing their first home. With the average monthly saving for those wanting to buy their first property now standing at £336, the society estimates it will take a single person seven years and five months to save a 15% deposit for an average first-time buyer home valued at £198,512.
The research also indicated uncertainty and mixed fortunes for the finances of some prospective first-time buyers. In order to meet the demands for a higher deposit, half of first-time buyers are looking for financial help from relatives.
The number seeking this support increases to 59% for those buying in London.
Ben Merritt, mortgages acquisition manager at Yorkshire, said: "Getting on the housing ladder seems to be more important now than it ever was. Whether it's being in shared rented accommodation whilst juggling home and work life, or spending lockdown back in the family home, the pandemic has clearly increased the resolve of first-time buyers who have increased their savings and are more determined than ever to buy their first home. "It's a real priority and life ambition for many people, but getting there still remains a challenge which is why we are seeing many lean on relatives for support with deposits. "Despite the lower availability of higher loan-to-value products, there are options available to first-time buyers and so it pays to do your research to help you get the support you need."