Around one in four homeowners looking to move on from their first home believe they will be reliant on financial help from their family in order to do so.
Around one in four homeowners looking to move on from their first home believe they will be reliant on financial help from their family in order to do so.
That’s according to new research from My Home Move, which argued that with so much focus on first-time buyers and downsizers those already on the ladder are becoming Britain’s “forgotten homeowners”.
It’s not just second steppers who believe they will need help affording a deposit to move up the housing ladder either; of those already living in their second home, almost 17% believe they will need financial help to get together a sufficient deposit.
Previous research from Legal & General (L&G) has made clear how important the so-called ‘Bank of Mum and Dad’ is becoming in the UK housing market, with parents and family friends spending more than £5bn in 2016 alone helping their loved ones buy a property.
According to L&G more than half of those buyers who receive help get it in the form of a gift towards a deposit.
The research also found that a large number of these homeowners expect that they will need to provide similar financial help to their loved ones in order for them to buy a property.
Almost a third (31%) of those living in their first home expect to help with a deposit for their children, rising to almost 38% of those living in their second home.
Doug Crawford, chief executive officer of My Home Move, said that it is those people who already own their first, second or third homes who possess the majority of Britain’s housing stock, and understanding them is key to getting the market moving.
He continued: “Possibly one of the most telling results from our survey is that even when someone enters the market, there is no guarantee they will be able to raise enough capital to keep climbing the ladder.
“For second-steppers in particular, needing a gifted deposit to take the next step may be holding them back from moving on, keeping thousands of properties off the market for would-be first-time buyers.”
