- Over three fifths (63%) of prospective first-time buyers living in London have been impacted by Brexit delays
The delay to Brexit and the ensuing political uncertainty is having a significant impact on the housing market and first-time buyers. Aldermore, the specialist bank, asked over 1,000 prospective first-time buyers if Brexit confusion had changed their home buying plans revealing that almost half (47%) decided to change their plans, with a quarter (24%) delaying purchasing a property, with 16% doing so by twelve months or more. Furthermore, over a fifth (22%) of prospective first-time buyers have brought their plans forward, with one in 10 (10%) doing so by up to three months and 12% by six months or more.1
Aldermore’s research shows that the lengthy Brexit negotiation process has hit first-time buyers living in the capital most substantially, with over three fifths (63%) of those trying to get on the property ladder changing their homebuying plans as a result of the uncertainty.
Moreover, career choice is also an important factor. People in the UK who are their own boss have had their plans disrupted more, with over half (56%) of self-employed first-time buyers needing to make changes to their timeline for buying, followed by those who are employed full time (50%).
How first-time buyers want the new Government to help them more
First-time buyers were also asked how they could be helped more by the Government to get on the housing ladder.2 The top response with 21% was for the Help to Buy scheme to be extended to all properties, not just new build, 19% would like an introduction of a Rent to Buy scheme, and 18% would like the introduction of policies to reduce the number of empty homes in the UK.
Damian Thompson, Director of Mortgages at Aldermore, says: “Owning a home is a long-term investment that’s likely to outlive current short-term political ambiguity and economic conditions; even if they may cause frustrating delays or changes to house buying plans. There will always be economic ebb and flow and, within that, temporary periods of uncertainty in a housing market that is ultimately cyclical in nature.
“Our survey shows this has not dampened prospective first-time buyers’ appetite for home-ownership with 81% saying it is a dream to own a home and similarly 81% see property as a good investment.”
Notes to editors
1The figures are sourced from a nationally representative survey conducted by Opinium Research with a sample of 1,004 prospective house buyers.
2 Chart showing responses from first-time buyers on how they would like to be helped more by the Government.
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Gareth Hill, Aldermore
Phone: 07721 127514
Laura Cronin, Lansons / Laura Marshall, Lansons
Phone: 020 7294 3607 / 020 7294 3636
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