Ownership moving out of reach
Unsurprisingly, Londoners express most concern (60%), though even the least concerned Scots (43%) worry about the next generation’s ability to get onto the property ladder.
Close to four in five (78%) say cost of buying today is too high
While more than two thirds (69%) of first-time buyers from older generations got onto the property ladder without financial support – other than mortgages – almost half of parents (49%) today feel they will need to help their children financially as they may otherwise never be able to afford a home of their own.
Stamp duty also isn’t helping as it’s a cost that creeps up with the rise of house prices.
More than two in five (44%) of those from previous generations did not pay stamp duty when they bought their first home, yet just over one in 10 (14%) of their children have been as lucky.
In fact, parents whose children are yet to buy their first home are even less optimistic: few (6%) expect their children to pay no stamp duty, and nearly one in six (16%) believe their offspring will never be able to buy their first home without parental financial support.
With the cost of buying a home having steadily increased across generations, more than two thirds (68%) of parents think it’s harder to get onto the property ladder today than it was in their time.
Ian Ramsden, TSB’s Director of Mortgages, says: “It’s a cause for great concern that so many parents envisage their children’s home-owning hopes slipping away.
“As a result, parents are feeling the need to reach deep into their own pockets to help their offspring.
“However, not every parent can afford to give a helping hand, which is why incentives such as our current stamp duty offer can make a real difference, helping first-time buyers’ dreams of their own four walls come true.”