Raising a deposit, general affordability and the cost of living have been cited as the main obstacles to getting on the property ladder, a survey from a lender revealed.
A poll conducted by Bluestone Mortgages found general affordability and the cost of living were the top concerns when considering buying a home, with 37% of respondents saying so.
This was followed by 34% who said raising a deposit was their main barrier to homeownership, and 33% who cited having insufficient income.
Some 32% of prospective first-time buyers said the house prices in their chosen area were a challenge, while 27% named mortgage interest rates.
Despite affordability being named as the main barrier to getting onto the property ladder, there was a lack of knowledge around the possible schemes available for help.
Bluestone Mortgages found that just 36% of respondents had heard of shared ownership and less than a tenth, 8%, were aware of the newer Deposit Unlock scheme.
Homemovers facing similar affordability concerns
Bluestone Mortgages’ survey also polled people who were already homeowners and found 43% felt house prices were the biggest hindrance to them moving home.
This was followed by 37% who said mortgage rates, and 35% who felt held back by general affordability and the cost of living.
A quarter said the availability of properties was stopping them from moving on and 19% said they had trouble raising a large enough deposit.
Just a third will use a mortgage broker
Despite finding these worries among both potential first-time buyers and current homeowners, Bluestone Mortgages revealed just 33% of respondents planned to use a broker to secure a mortgage.
Fewer planned to go directly to their lender, however, at 15%.
Ryan Davies, strategy director at Bluestone Mortgages, said: “For many people getting onto or climbing the property ladder is still a distant dream, but it’s not impossible with the right support. Now more than ever, the industry needs to focus on developing and raising awareness of innovative solutions such as Deposit Unlock to tackle the challenges associated with getting onto the property ladder.
“Brokers have a key role to play in this, not only through marketing their services and demonstrating where they can add value, but highlighting the range of products available to help customers with smaller deposits achieve their homeownership ambitions.”
Bluestone Mortgages joined the Deposit Unlock scheme in 2023 and brought its product to market earlier this year,
Shekina is the deputy editor at Mortgage Solutions and commercial editor at Mortgage Solutions and Specialist Lending Solutions. She has nearly eight years of experience in the B2B publishing market, having previously covered the hospitality, retail, pet, accounting and jewellery sectors.
Shekina has worked for Mortgage Solutions and Specialist Lending Solutions for almost five years. Here, she covers the market’s breaking news stories, engages with professionals in the sector, and oversees any commercially agreed content in partnership with mortgage-related companies.
This includes presenting webinars and hosting roundtable discussions on developing themes in the mortgage sector.
She is an NCTJ-trained journalist and was nominated for the Headline Money Awards Mortgage Journalist of the Year in 2021.
In her spare time, Shekina likes to read, travel, listen to music and socialise with friends.
She currently reports on current events in the mortgage market and liaises with financial clients to produce sponsored content.
Follow her on Twitter at @ShekinaMS
