Most people would agree that it is difficult, and expensive, to buy property and that first-time buyers require assistance in stepping on to the property ladder. We believe it is important to get advice from specialists with an understanding of the market and at Griffin Residential, we aim to help you be confident with whatever you want to do. However, we also know that there is a need for financial support in raising funds to buy a home, and this is very true for the deposit required to buy a home.
The larger the deposit you can save, the easier it will be to get on to the property ladder. For some applicants, a sizable deposit can make the difference between their mortgage application being accepted or not. For other applicants, a larger deposit can help them to receive a more appealing or affordable mortgage offer, which is why the size of deposit at your disposal is hugely important in getting on to the property ladder.
There has been assistance for first-time buyers looking to save for a deposit, including:
These are all good options to consider when looking to buy a home, but many first-time buyers find they must turn to family members or loved ones to afford a deposit. This is where the Bank of Mum and Dad can have an enormous impact on buying property, but it seems as though it is not just first-time buyers who are struggling to afford a deposit.
A study undertaken at the start of 2018 suggested that 25% of households who already own a home are struggling to raise funds for the deposit for their next property, and that this group would require assistance from family members or loved ones. It is often assumed that once people are on the property ladder, their ascension into larger homes or more desirable property comes through selling their existing home and obtaining a larger deposit. This may no longer be the case and the rising cost of property prices, and the associated deposit, has left many homeowners in need of assistance.
A big problem with this issue is what can be done to provide support? There is unlikely to be a wave of support to help people who own property to buy larger property, not when so many people are unable to afford property in the first place. This means that existing property owners who are looking to buy a larger or more expensive home will need to find their own solution to their problems.
At Griffin Residential, we know that buying property is challenging, no matter what your current circumstances are. If you need help with any move in the property market, get in touch and we will do our best to assist you.