finance

Most under 30s have saved almost £10,000 for first home deposit


THE typical under 30 has saved almost £10,000 for a deposit on their first home, research has revealed.

A study of 2,000 adults aged 18 to 29 found more than half (55%) would be happy to move to a less desirable location if it meant they could own their own property.

It's Shared Ownership Week later this month to help buyers get on the property ladder

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It’s Shared Ownership Week later this month to help buyers get on the property ladderCredit: Getty

However, three quarters (75%) worry that house price rises are drastically outpacing their salary increases, making their task even more difficult.

And 76% feel the government should be creating more incentives to help young adults get on the property ladder.

Overall, after paying bills, rent and other living expenses, the average under 30 has squirreled away £9,300 towards their first property.

The research was commissioned by Shared Ownership Week, which kicks off on September 23 and aims to provide advice on how to make the scheme work for your needs.

A spokesperson for Shared Ownership Week said: “It is clear that like generations before them, under 30s are just as ambitious when it comes to buying a home.

“However, many are facing new challenges before taking this step, and finding obstacles in their way.

“Owning a home shouldn’t be something out of reach for young people, or indeed anyone – which is where shared ownership can help.”

Under Shared Ownership, buyers build equity on their share of the property while paying a lower rent on the part they don’t own. They can then buy further shares until eventually owning the home outright.

However, the study found four in 10 respondents are not familiar with the concept.

It also emerged that seven in 10 of those surveyed via OnePoll have given up on luxuries to help boost their savings.

Although 35% feel the pandemic has actually had a positive effect on their bank balance.

But more than eight in 10 (83%) feel that the cost of housing in the UK is ‘seriously unfair’.

A spokesperson for Shared Ownership Week added: “For a lot of young people, it seems their only option is to withdraw from ‘The Bank of Mum and Dad’.

“Our research found shared ownership could be a huge help to many, but they’re perhaps not as aware of it as they could be.

“For anyone who is looking to get on the property ladder and isn’t sure where to start, we’d certainly advise doing some research in this direction.”

Shared Ownership Week has teamed up with interiors influencer Kelsey Heinrichs to shine a spotlight on how to style and furnish a first home on a budget.

She said: “I’m currently saving like mad for my own home buying journey, so can really relate to the plight of first-time buyers.

“After saving for a home, plus all the costs that go with it, it’s unlikely that anyone has an excessive budget for furnishing their first place.

“But there’s no need to fret about this as even the best interior designers cheat their way to ultimate house goals.

“I’m looking forward to sharing my own guide to achieving home style bliss at a fraction of the price.”

Martin Lewis explains how to get £1,000 a year towards buying your own home

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