Although there was an increase in young would-be home owners willing to buy property that requires repair or refurbishment in 2013 compared to 2012 (44% and 40% respectively), as a whole the number of buyers aged 18-34 ready to make compromises with their property choice in order to pay less for the purchase has declined. Research conducted by the Post Office showed a decrease in the number of potential homeowners willing to make sacrifices in four key areas, with the exception of the compromise noted above. The launch of the Government’s Help to Buy scheme and its requirement for just a 5% deposit for obtaining a mortgage is one of the most likely reasons for first-time buyers’ growing desire to buy their own home, whilst making as few compromises as possible.
According to responses from 2,002 people aged 18-34, 36% of young women and men in the UK expect to buy property in the coming months, compared to 34% in 2012.
Despite trying to get on the property ladder, only 33% of first-time buyers will settle for second-hand furniture and appliances, down from 40% in 2012. Location also appears to be more of a priority, with the number of buyers saying they don’t mind buying a property in a less attractive area falling from 38% to 35%. The number of people agreeing to move to a property away from their family has also declined and it now accounts for 26% of responses compared to 29% a year ago.
Many young buyers are also less likely to make compromises in their personal life in order to save for a deposit. The number of buyers willing to abstain from ordering a take-away, bringing their own lunch to work and not buying new clothes or shoes have all dropped.