The goal of home ownership has become increasingly challenging for first-time buyers, UK Finance forecasts suggest that the number of first homeowners in 2023 reached its lowest figure in a decade[1]. To better support those trying to get onto the property ladder, Principality has adapted its first-time buyer offer. In 2023, the building society helped over 8,000 FTBs purchase their first home, up from 4,587 in 2022.
Verve worked with 40 first time buyers from across the UK with a mix of gender, age, social grade, life stages and financial confidence at various stages of their home buying journey to help understand their journey, including their thoughts of mortgage brokers.
Principality’s mortgage application data shows that this group are selecting a range of different strategies as they looked for ways to secure their first home. Of those buyers engaging with Joint Borrower Sole Proprietor, Shared Ownership and Gifted Deposits mortgages, between 71 and 80% are first time buyers (Principality Building Society, 2023).
Helen Lewis, National Intermediary Manager, Principality Intermediaries, said:
‘We understand the challenge first time buyer face in the current climate. Our research with Verve will help us continue to shape our product and proposition development for these buyers. It has also highlighted the role brokers play and their importance, as borrowers are looking for certainty, support and solutions to help them take their first steps towards home ownership.’
Over the coming months, the lender will be working to share their findings with the broker community and showcase the range of mortgage options available to make home ownership more accessible for the different types of first-time buyers identified by the research.
For more information on how Principality Building Society can help support first time buyers get in touch with your local BDM, contact our broker support team on 0330 333 4021.
Alternatively, you can find more information on Principality Intermediaries website or follow us on LinkedIn.
[1] (Source – UK Finance via FT).
