First Time Buyer Funding

The average deposit paid by a first time buyer was £43,693. Perhaps unsurprisingly, almost two thirds (63%) were in the top 40% income bracket.

Just over two thirds (68%) of first time buyers paid less than a 20% deposit, while a fortunate 5% were mortgage free.

85% reported funding the purchase of their first home with savings, whilst 27% received help from family and friends and 8% used inheritance.

Despite high costs, first time buyers accounted for 53% of all home moves in Q3, the highest proportion in over a year. With increasing stability and the likelihood of mortgage rates coming down, more first time buyers may enter the market in the coming months.

Source: Dataloft