Two thirds of would be first time buyers feel trapped in a rented home

Two thirds of aspiring first time buyers feel they are stuck in a rental trap but attitudes to shared ownership and Help to Buy are changing, according to new research.

A few years ago, research would have suggested that the majority of first time buyers were not aware of such schemes available but now it seems that Help to Buy and shared ownership are helping to bridge the affordability gap for aspirational home buyers.

The survey, carried out ahead of the First Time Buyer Home Show to be held in Manchester next month, highlighted a reliance that first time buyers now have on such schemes with 65% of respondents saying that they would need to use either Help to Buy or shared ownership to even consider purchasing their first home.

The poll also found that 10% have been saving for a house deposit for seven years or more, 54% are planning to buy their first home with a partner, while 42% intend to purchase a property on their own.

The vast majority, some 81% have had to give up or cut back on luxuries, with the most popular sacrifices being nights out/socialising, eating out/takeaways and holidays.

‘What is clear from our survey is that there is still a strong desire to get on to the property ladder and home ownership is a priority for many,’ said Lynda Clark, editor of First Time Buyer Magazine.

‘But we can now see an increased awareness of many of the new home buying schemes available that have become more accepted by buyers over the last decade. Schemes such as Help to Buy and shared ownership, which require a lower deposit, are now widely recognised as a way to get on to the property ladder,’ she pointed out.

‘While we expect that in order for first time buyers to save there may be some sacrifices to be made, we were shocked to find out just how high this number was. With four in every five prospective home buyers having to give up on nights outs, takeaways or holidays,’ she added.