Barratt Homes has found that many first-time buyers remain unaware of the Government and lender-backed schemes available to help them onto the property ladder.
The ‘First-Time Buyers Report’ draws on data from the ONS, Government housing sources, and a survey of 2,000 UK homeowners to uncover the key challenges and behaviours shaping the first-time buyer journey.
Nearly half (47%) of respondents said they did not feel confident navigating the buying process, while one in five (21%) cited understanding mortgage options as the most challenging part.
The most common difficulty, however, was finding a home within budget, with 27% naming this their biggest hurdle.
Mortgage brokers were the most commonly used source of advice, consulted by 46% of buyers, followed by online searches (20%) and family members (18%). Only 11% turned to a bank advisor, with smaller numbers relying on friends or social media.
The average first-time buyer in the UK saves for up to three years to afford a deposit, which averages £54,200. Regional variation is significant, and many buyers take longer to save depending on local property prices.
Among the most common savings strategies were opening a dedicated savings account (38%), cutting back on socialising (32%), and working longer hours (24%).
Others sold possessions, took on second jobs, or moved back in with family. Some buyers also relied on family contributions or pushed for pay rises at work.
Despite this financial pressure, only 12% of first-time buyers reported using a Help-to-Buy or similar scheme to secure their home, and one in five admitted to lacking awareness of the various options available.
Adrian MacDiarmid, head of mortgage relations at Barratt Homes, said greater awareness could help more people take their first step onto the ladder.
The report highlighted several schemes available to first-time buyers, including low deposit mortgages, the First Homes Scheme, shared ownership, and new offerings such as the Track Record Mortgage and Own New – Rate Reducer.
MacDairmid said: “There is still a clear gap in awareness when it comes to the support available.
“We want to help demystify the process and highlight options that could make home ownership a reality sooner than many buyers think.”
