You are here: Home - Mortgages - First Time Buyer - News -

Pandemic ‘offers silver lining’ for first-time buyers

Written by:
Two in five first-time buyers say they will be able to purchase a property sooner than expected because they have saved more during the pandemic.

Almost half of aspiring homeowners have been able to save more towards their first property during the Covid crisis, with the average squirreling away an extra £500 a month.

Only a fifth of people said the pandemic had delayed their buying plans, according to research by Yorkshire Building Society.

Despite having more savings, the average first-time buyer needs four years of savings to purchase a property. Almost a third (31 per cent) said they expect they will have been saving up to two years, but a fifth (22 per cent) said it could be nearer to ten years of saving before they have enough money to buy their first home.

Ben Merritt, senior mortgage manager at Yorkshire Building Society, said: “The first-time buyer market is swiftly heading back to pre-Covid levels of mortgage choice and availability, and with smaller deposit options having made a comeback, and new government support on the table, first-time buyers could have good reason to be optimistic.

“However with a fifth of first-time buyers having had their plans delayed by the pandemic, and the same saying they expect to have to save for up to a decade, it’s a stark reminder that the upfront costs of purchasing a house still prove too big a barrier to overcome for some.”

Buying a home is still top priority for many people with two-thirds (65 per cent) of people admitting that owning their own home would be life’s biggest achievement, above career aims (39 per cent), having or adopting children (33 per cent) or getting married (31 per cent).

Seven in ten (71 per cent) say getting the keys to a first house is essential to people feeling like they have succeeded in life, while three fifths (61 per cent) say it is more important now than before the pandemic.


There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Everything you wanted to know about ISAs…but were afraid to ask

The new tax year is less than a fortnight away and for ISA savers or investors, it’s hugely important. If yo...

Your right to a refund if travel is affected by train strikes

There have been a wave of train strikes in the past six months, and for anyone travelling today Friday 3 Febru...

Could you save money with a social broadband tariff?

Two-thirds of low-income households are unaware they could be saving on broadband, according to Uswitch.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

DIY investors: 10 common mistakes to avoid

For those without the help and experience of an adviser, here are 10 common DIY investor mistakes to avoid.

Mortgage down-valuations: Tips to avoid pulling out of a house sale

Down-valuations are on the rise. So, what does it mean for home buyers, and what can you do?

Five tips for surviving a bear market mauling

The S&P 500 has slipped into bear market territory and for UK investors, the FTSE 250 is also on the edge. Her...

Money Tips of the Week