This is according to new data released by Barclays which revealed the volume of buyers taking their first step on the property ladder went up by 98% in 2021.
The mortgage lender said first-time buyers paid an average property price of £281,900 in 2021, down from £294,500 in 2020 – but 13% higher than the average pre-pandemic price.
The data, generated from Barclays own information plus consumer research, will come as positive news for budding first-time buyers. But the research also revealed many of these buyers had been saving for a number of years and more than half needed help from family.
Indeed, most started saving for their first property at the age of 24 and the average age at completion was 32.
Meanwhile, 56% said they wouldn’t have been able to get on the property ladder without family support.
There was also a high level of despondency amongst potential first-time buyers. Almost two thirds of those looking to buy their first home believed they would never get on the property ladder.
Claire Macphail, mortgage expert at Barclays, which provides the Family Springboard mortgage allowing family or friends to support the home purchase, said: “It’s encouraging to see that first-time buyers have been able to get onto the property ladder in increasing numbers since the start of the pandemic.
“However, despite numbers nearly doubling across the last year, it’s worrying to hear that many still believe that they’ll never be able to afford their first property.”
She added: “Our index points to the importance of first-time buyers being supported by family so it’s essential for lenders to innovate to provide new ways in which first-time buyers can get a head start.”
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Case study: ‘It’s worth it in the end’
Perveen Gill is a first-time buyer who purchased a two-bed flat in Woolwich with her partner in June 2021, after saving for seven years for a deposit. She offered words of encouragement to others about to embark on buying their first home.
“Buying as a couple can be quite a high-pressure situation and it’s understandable why many are nervous when buying with a partner. But, in my experience, the planning and stress of it all really is worth it in the end!
“My advice is to focus on saving in a sustainable way that fits both your needs, so you find a balance between short-term enjoyment and longer-term investment; educate yourself on the process so you go into situations informed; and understand where you have power to negotiate so you can save some cash!”
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