The UK’s largest conveyancer myhomemove has revealed research that shows the average age of a first-time buyer (FTB) is set to fall by around six years, thanks to the Government’s new Help-to-Buy scheme, launched last week.
The research looked at the 3,700 first-time buyers they have helped enter the market through their subsidiary, Premier Property Lawyers.
Based on this data, the average age of a first-time buyer in the UK is 33, while the average purchase price for a first-time buyer property is £180,000.
Doug Crawford, CEO. myhomemove, said: “Most mortgage lenders currently require borrowers to have a 20% deposit; the equivalent of £36,000 on a property costing £180,000.
“This is a vast amount of money which, according to industry research*, will take an average of eight years dedicated saving to achieve, with relatives often being called upon to help top up the balance.
“With the Government’s second phase of its Help-to-Buy scheme launching this week, we predict that the average age of a first-time buyer will drop by up to six years, to 27, as saving for a 5% deposit could take as little as two years.
“And who knows, the ‘Bank of Mum and Dad’ may be able to take a break, as the Government steps in to guarantee the mortgages.”
