While parents are still a vital part of the house buying market, their level of lending to their children is down, and only sustainable for one in four buyers, according to a new report.
Research shows that the so-called Bank of Mum and Day forecasts a lending of an average of £18,000 – down from the £21,600 lent last year.
While those aged under 35 are most likely to get help from their parents, with nearly three in five doing so, some older homebuyers also rely on the Bank of Mum and Dad, with 20 per cent of those aged between 45 and 55 receiving help.
With this in mind, developer Linden Homes West Yorkshire say now is a great time for first time buyers to think about moving with Help to Buy.
Official figures released earlier this year have shown that over 350,000 people across the UK have now used the Government’s Help to Buy schemes; including more than 300,000 first time buyers.
The first phase of H2B was introduced in April 2013, offering customers the chance to reserve their new home with a minimum five per cent deposit.
Help to Buy is one of the most popular incentives chosen by home hunters looking to move to one of Linden Homes West Yorkshire’s developments across the region.
Here’s how it works: customers require a minimum five per cent deposit. The government will lend you up to 20 per cent of the value of your property through an equity loan, which can be repaid at any time, or on the sale of your home. Buyers will only need to secure up to a 75 per cent mortgage from a bank or building society. The maximum home purchase is £600,000.
Linden Homes West Yorkshire sales director, Gina Holmes, said: “Supporting first time buyers as they take their step on the property ladder is very important to us. The uptake in existing homeowners and families also using Help to Buy means that we are able to assist those from all walks of life – individuals, couples and families – in finding their dream home. This is, and continues to be, a real driver for our business.
For details of Linden Homes West Yorkshire’s developments offering Help to Buy near you, visit the website.
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For further press information please contact Cetti Long at Media Matters on 01733 371363 or email cetti@mediamatters-pr.co.uk
