One in ten first-time buyers rely on grandparents

Jessica Nangle

March 6, 2017

More first-time buyers are relying on funding from their grandparents to finance their deposit, according to research by Santander Mortgages.

Reliance on grandparents’ finance has increased four-fold compared to those who bought their home five years ago.

Miguel Sard, managing director of mortgages at Santander UK, said: “Today’s first time buyers are demonstrating resilience and determination to achieve their home ownership goals.”

One in seven private tenants pay more than half income in rent

Of those currently looking to buy, 32% will use a family loan to help with the deposit, a steep increase from the 13% of current homeowners who asked for financial help from families.

First-time buyers saving for a deposit expect to do so for an average of five years which is a year longer than those who brought their first property five years ago.

Santander’s research suggests that 45% of those looking to buy are more positive now than they were a year ago, compared to the 20% whose confidence had declined.

Sard added: “The purchase of a first property still remains high on the priority list for many people across the UK and it’s encouraging to see so many first-time buyers feeling positive about the year ahead.”

Enter your e-mail address to receive updates on this topic straight to your inbox

* indicates required
Send me news alerts on: