Prospective young homeowners becoming more optimistic
05/02/2014
Prospective young homeowners are becoming more determined to get onto the property ladder according to figures released in the Post Office’s annual House Buying Habit Report, which claimed that 36% of 18-34 year olds are hoping to buy a house in the immediate future.
The figures suggest that prospective young homeowners are still making big sacrifices to get onto the property ladder. However, the lengths they’re willing to go appear to be falling gradually, suggesting increasing confidence in the market, likely as a result of the government led initiative, help to buy scheme.
This is particularly prevalent in regards to compromising on location of the property, which has fallen from 38% to 35%, whilst those willing to move away from their family has fell from 29% to 26% year-on-year.
Furthermore, the willingness to make lifestyle sacrifices remained significant, but did fall slightly over the last year. The most popular lifestyle sacrifices were generally food and leisure, with 57% willing to give up takeaways, 51% willing to cut back on going out over the weekend, and 43% cutting back on their general food bill. Additionally, 14% were actually willing to give up saving into a pension fund in order to put extra money towards the cost of buying their first property.
John Wilcock, Head of Mortgages at Post Office said of the figures: “For many people owning their own home is a dream they are determined to make a reality, and our report highlights the lengths some will go to. Since the recession in 2008, people have taken extra steps to save money for a deposit. However, the launch of the Government’s Help to Buy scheme and a raft of affordable loans on the market look to have rallied optimism amongst first-time buyers.”
Need Advice
Are you a first time homebuyer and need advice on mortgages? If so, contact one of our advisers via our online question box, or by calling 0800 092 1245
Share this..
Related stories
Are you banking on a short-term recovery?
As many people across the UK continue to feel the wrath of the UK recession it seems a number of people are planning (or hoping for) for a short-term recovery. As a consequence, we could see a significant increase in the number of people suffering financial distress in the short to medium term unless the economy does in fact spring to life over the coming months.
It seems that a gro...
Sports Direct rocked by poor Christmas sales
FTSE 100 retailer, Sports Direct, has issued a warning regarding profits after poor trading over the Christmas period. Shares in the company fell by more than 15 per cent after the warning was issued, dealing a blow to the fashion and sportswear retailer. Originally, Mike Ashley, founder and deputy chairman of the company, had set a profit target of £420m before tax in the year ending Apri...
Read MoreUK government set to release Lockerbie bomber correspondence
The UK government and its Scottish counterpart are set to release copies of correspondence between the two regarding al-Megrahi as pressure on the UK authorities continue to grow. There is a feeling, and Foreign Secretary Jack Straw did nothing to allay these fears, that the UK government was railroaded into discussing a possible transfer of the Lockerbie bomb from Scotland to Libya some months ag...
Read MoreBank Of England plays down recovery hopes
Mervyn King would appear to have single-handedly caused a significant sell-off in the currency markets this morning with sterling now at a five-month low. Despite the fact that yesterday's Bank of England report gave both positive and negative angles on the UK recovery, today's comments by Mervyn King are certainly as clear as day. So what exactly did the Gov of the Bank of England say to the mark...
Read MoreFSA warns banks about remuneration packages
Just 24 hours after the potential £9.6 million remuneration package for Royal bank of Scotland chief executive Stephen Hester was announced, the Financial Services Authority (FSA) has warned banks not to slip into the "business as usual" mode. Without specifically mentioning the Stephen Hester situation it would appear that a number of UK banks have moved into the staff recruitment sector in a ve...
Read More