We know buying a home these days calls for a lot of sacrifices. A lot of media outlets run unhelpful stories suggesting potential homeowners could save money if they cut back on coffee and avocado toast. Frankly, that isn’t a healthy or helpful level of dialogue, and the stark choices made by many would-be buyers is reiterated in a new study.
At David Harris & Co, we work with all parties in the housing market. We work closely with local property owners in Finchley, making sure their home is presented in the best possible manner to the marketplace. We also help buyers find their next home, or their first home, in the local area.
Our role in supporting buyers and sellers means we know how challenging the property market is, and we are here for you, no matter where you are in the buying journey.
New research reveals a concerning trend in UK home buying, with potential homeowners prioritising property deposits over pension savings. This insight comes from an extensive survey of over 2,200 people across different age groups.
The findings paint a stark picture of today's property market challenges, particularly in areas like North London where housing costs continue to climb.
Key findings that every prospective homebuyer should know:
A remarkable 88% of people are choosing to save for a house deposit instead of their pension, and this isn't just young buyers - the majority of respondents were aged 36-45 (27%) and 46-54 (23%), putting many worryingly close to retirement age with limited pension savings.
The deposit challenge is particularly daunting when you consider that 52% of respondents have savings of £10,000 or less, while the average deposit needed for a property on the open market stands at £53,414. Breaking this down further, 31% have under £5,000 saved, and another 21% have £10,000 or less.
The 'Bank of Mum and Dad' isn't an option for most - 77% of respondents reported receiving no financial support from family members for their deposit, highlighting how many are relying solely on their own savings.
Single buyers face particular challenges in today's market. While 57% of respondents are looking to buy alone, 65% believe single person homeownership is currently unattainable on the open market.
This data highlights the importance of careful financial planning and exploring all available options when looking to step onto the property ladder. Whether you're a first-time buyer or looking to move, understanding these market realities can help inform your property decisions and savings strategy.
Remember, while saving for a deposit is crucial, it's worth considering how to balance this with other long-term financial goals, including pension savings.
At David Harris & Co, we understand what makes Finchley unique. Whether you’re buying, selling, or renting, our local expertise ensures we can guide you to the best decisions for your needs.
Ready to explore Finchley’s property market? Contact David Harris & Co for expert advice and a stress-free experience. Call us on 0208 346 9122 to get started. Let’s make Finchley your next home.
