Pandemic forces first-time buyers to raise an extra £23,000 to buy home

A First Time Buyer Index surveying 2,015 prospective and 500 actual first-time buyers (FTBs) has revealed that over half (58%) needed to raise a larger deposit than initially intended due to the impact of the COVID-19 pandemic. The average increase was an additional £22,849, bringing the deposit size up to £62,572 (an average of 18.6% of the property value). According to the survey by Aldermore, it took first-time buyers an average of 4.6 years to save up enough to buy a home. Two in five (40%) FTBs took two or more offers to secure the home they bought, stretching out the process and raising costs. Before that, half (49%) were in the process of buying a different property only to have it fall through. This cost new buyers an average of £2,403. Increased challenges and multiple attempts at buying meant first-time buyers faced a delay of an average of three months. These extra barriers and costs meant that 48% felt they did not get the home they wanted because they had to compromise so much to get on the housing ladder. 

Daily Express (27/11/2021)