Parents more worried about kids’ education
A third of all parents (33%) are concerned about the financial implications of helping their children pursuing further education, compared with just 29% who are worried about helping their child onto the property ladder.
The survey also shows that despite rising property prices only 25% of families expect to have to help their children buy their first home.
Louise Colley, Aviva head of protection sales and marketing, said: “Making the most of opportunities in education has a huge impact on someone’s earning potential in later life, so it is understandable that parents worry about giving their children the financial support to attend college or university.
“At the same time, buying a first home is another major landmark in someone’s life, and many people have little option but to turn to family for help with their initial deposit.”
With the launch of products such as the Barclays Family Springboard and Aldermore’s Family Guarantee Mortgage there appears to be a move towards family backing rather than higher LTVs for first time buyers.
Hugh Wade-Jones, managing director of Enness Private Clients, said: “For the first time people are analysing the cost of pursuing higher education.
“However, with many buyers relying on their families to get a foot on the property ladder it is essential that parents are strategic when looking at the different ways in which they financially support their children.”