Lack Of Confidence For Local First-Time Buyers
A study conducted by the regulated property buyer Good Move has found that two in five Brits cannot afford to buy a house in their hometown.
Following the Housing Secretary, Robert Jenrick, to give first-time buyers a 20% discount if they purchased property in the area where they grew up, Good Move’s research has suggested that the initiative would be a welcome move to many.
Nearly two in five (37%) Brits say it is unlikely they will ever be able to afford to buy a place in their hometown, according to the research.
The average age of a first-time buyer in the UK is 30, however 44% of those aged between 18 and 24 believed that houses in their local area were too expensive.
Depending on the city of the participants, the level of confidence in being able to buy a home locally differed. People in Cardiff were the most pessimistic, with over half of people from the city believing that a home in the area they grew up in would be beyond reach.
However, those born in Sheffield and Bristol had a lot more confidence that they would be able to afford their own home locally, with just 26% and 28% respectively believing they would not have a chance.
The survey also found that Londoners felt confident despite the high city house prices. Over 62% of people felt they would be able to purchase a property within the area they were born.
The 10 cities where people are most unlikely to be able to afford to buy property in their childhood area are:
1) Cardiff – 51%
2) Norwich – 43%
3) Belfast – 41%
4) Nottingham – 40%
5) Manchester, Southampton and London– 38%
8) Liverpool – 37%
9) Leeds and Newcastle – 34%
As well as asking whether people felt they could afford to buy in their home town, Good Move also asked how close they wanted to live from the place they grew up.
It was found that younger generations were less bothered about being close to where they grew up and on average people would like to live 21 miles away from their parents.
Being close to in-laws however was found not to be an issue though, with the average desired distance being 36 miles, with women wanting to be closer to parents than their in-laws.
It was those between the ages of 25 to 34 however that wanted to maintain an optimum distance from their parents, which was found to be 24 miles.
Ross Counsell, Director at Good Move, said:
“While a little bit of distance from family can be healthy, the majority of people would probably want to live in the same area and unfortunately house prices often prevent this from happening.
“A lot of Brits will feel attached to the place where they grew up so it’s a real shame that many are getting priced out of living there. Hopefully new initiatives, like the one the government proposed recently, will help address the issue.”