THE number of first-time buyers in Britain has almost doubled in the past year according to new research.
It’s optimistic news, but unfortunately, it is not seemingly getting through to would-be homeowners — nearly two-thirds of whom still fear they will never make it onto the property ladder.
New research from the Barclays Mortgages’ First Time Buyer Index, combined its own data with consumer research and polled more than 2,000 potential or existing first-time buyers giving a snapshot view of the first time buyer market post lockdown.
The study found that FTBs had jumped 98% between 2020 and 2021, despite a hike in property prices.
New homeowners paid an average of £281,900 last year, which although less than the 2020 average of £294,500, is up 13% from the average pre-pandemic price of £249,700 in 2019.
Barclays found the average person started saving for a deposit at 24, taking eight years to save enough for a down payment on their first home, with the average age of a first-time buyer staying constant at 32.
Most people (62%) said they relied on their own savings, but more than half (56%) said they wouldn’t have been able to buy their first home without family support or a financial contribution.
Saving for a deposit was cited as the biggest obstacle to homeownership by 35%, with more than 70% saying they wished they’d started saving earlier.
More than 55% confessed they had no idea where to begin, while 39% didn’t know they had to factor in solicitor’s fees. Nearly half were unaware of stamp duty — or that in some cases they might be exempt.
The average income of a solo first-time buyer has also jumped, rising from £45,900 in 2019 to £50,800 in 2021, while the average household income of those buying jointly grew from £63,800 in 2019 to £70,500 in 2021, down from a high of £72,200 in 2020.
