It’s time to get on the ladder
There are compelling reasons to own rather than rent your home, if possible. Instead of lining a landlord’s pocket, you’ll be paying towards owning a valuable asset.
However, it’s becoming more difficult to make the break. The percentage of young people (15-34) living with parents has gone up from 36% in 1996 to 40% in 2015, according to government figures.
No one could pretend it’s not a challenging time for first-time buyers. Figures from the Office of National Statistics show that on average, they need to lay down a 21% deposit to obtain a mortgage. And with the average house for first time buyers in the UK costing £192,147, that means scraping together a deposit of £40,000.
It’s no surprise that many first-timers are turning to parents or relatives for help. Research by economics consultancy CEBR for Legal & General suggests that in 2016, the “Bank of Mum and Dad” will provide more than £5 billion to help with that first foothold on the property ladder. So if home ownership is your ambition, it’s best not to forget those Mother’s Day or Father’s Day cards!
But if that’s not an option, why not take a look at our First Time Buyers Guide to see what you need to do to get that first foot on the ladder.