Young couples are delaying marriage and starting a family as they struggle to get on the housing ladder.
A study of 500 adults looking to buy a property in the next three years found major life milestones are being postponed in order to afford to buy a home.
A quarter are delaying tying the knot, while 15 per cent don’t want to have children until they have secured their bricks and mortar.
It emerged a third are avoiding buying a new car and 55 per cent aren’t going on holidays.
Ben Merritt, director of mortgages for Yorkshire Building Society, which commissioned the research, said: “Would-be borrowers are facing some particular challenges at the moment when it comes to getting on the property ladder, due to factors like the high cost of living and interest rate rises squeezing their affordability.
“However, our research shows the great British love affair with homeownership lives on, so-much-so that people are prepared to make greater sacrifices than just cutting down on nights out or making lunch instead of buying it – in order to achieve it.
“In fact, they are even putting off major life events like their education, having a family or a much-needed break from work, to afford to buy their own place.”
The research found those looking for a property expect to be able to buy their first home just over 35-years-old.
The average deposit now stands at a staggering £31,916 - rising to £44,128 in London - and will take nearly five years to save for.
Among the prospective purchasers who are receiving money from family, the average amount they expect to get is £18,047 – more than half of their overall deposit.
But 64 per cent are looking to buy with their partner to ease the financial outlay.
The study found 53 per cent said their main driver when it comes to purchasing a home is to stop wasting money on rent.
Other motivating factors included wanting to invest in a property (38 per cent) and wanting a place to settle down and start a family (34 per cent).
First-time buyers are optimistic about the rate at which they will pay their mortgages off, estimating it will take them just over 23 years on average.
Meanwhile 43 per cent of those polled said it’s more important to them to have a shorter mortgage, than initial lower mortgage payments.
Ben added: “Some of our findings are pretty stark and people are clearly having to make life-changing decisions.
“However, we can also see that owning a home is still important to them and they are determined to find ways of doing so.
“By the same token, some of the choices would-be borrowers are making could be seen as positive signs of a return to more traditional values, too.
“Buying a house is the biggest financial commitment most of us ever make, and it’s good that people are taking this seriously in the kinds of ways which were perhaps more typical a few decades ago, before the recent era of unusually cheap credit.
“The first step in any journey is often the hardest, but also the most important, and it’s vital that as many people as possible get that opportunity.”
A study of 500 adults looking to buy a property in the next three years found major life milestones are being postponed in order to afford to buy a home.
A quarter are delaying tying the knot, while 15 per cent don’t want to have children until they have secured their bricks and mortar.
It emerged a third are avoiding buying a new car and 55 per cent aren’t going on holidays.
Ben Merritt, director of mortgages for Yorkshire Building Society, which commissioned the research, said: “Would-be borrowers are facing some particular challenges at the moment when it comes to getting on the property ladder, due to factors like the high cost of living and interest rate rises squeezing their affordability.
“However, our research shows the great British love affair with homeownership lives on, so-much-so that people are prepared to make greater sacrifices than just cutting down on nights out or making lunch instead of buying it – in order to achieve it.
“In fact, they are even putting off major life events like their education, having a family or a much-needed break from work, to afford to buy their own place.”
The research found those looking for a property expect to be able to buy their first home just over 35-years-old.
The average deposit now stands at a staggering £31,916 - rising to £44,128 in London - and will take nearly five years to save for.
Among the prospective purchasers who are receiving money from family, the average amount they expect to get is £18,047 – more than half of their overall deposit.
But 64 per cent are looking to buy with their partner to ease the financial outlay.
The study found 53 per cent said their main driver when it comes to purchasing a home is to stop wasting money on rent.
Other motivating factors included wanting to invest in a property (38 per cent) and wanting a place to settle down and start a family (34 per cent).
First-time buyers are optimistic about the rate at which they will pay their mortgages off, estimating it will take them just over 23 years on average.
Meanwhile 43 per cent of those polled said it’s more important to them to have a shorter mortgage, than initial lower mortgage payments.
Ben added: “Some of our findings are pretty stark and people are clearly having to make life-changing decisions.
“However, we can also see that owning a home is still important to them and they are determined to find ways of doing so.
“By the same token, some of the choices would-be borrowers are making could be seen as positive signs of a return to more traditional values, too.
“Buying a house is the biggest financial commitment most of us ever make, and it’s good that people are taking this seriously in the kinds of ways which were perhaps more typical a few decades ago, before the recent era of unusually cheap credit.
“The first step in any journey is often the hardest, but also the most important, and it’s vital that as many people as possible get that opportunity.”
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FunTranscript
00:00 It's official, first time buyers are putting off kids, weddings and holidays just to get
00:06 a chance to get their foot on the property ladder.
00:09 We're opening the door to some first time buyers to hear what they've got to say and
00:14 see how we can help them on their journey to getting their first property.
00:19 So Tom, we're going to play the game of life and I'm going to roll it and if it lands on
00:24 a particular one I'm going to ask you are you willing to sacrifice that for your first
00:28 time property, okay?
00:30 So let's see.
00:32 Children!
00:33 Too early!
00:34 Too early!
00:35 Let's throw it again.
00:36 Great throw.
00:42 That's a holiday!
00:44 No.
00:45 Are you willing to sacrifice life's little luxuries?
00:51 I would say yes.
00:54 It could be about £10 a day on coffee.
00:57 That's more than a luxury, that's a mortgage!
01:00 You know?
01:01 In today's world, if you're serious about buying a property then also understand that
01:06 the word sacrifice is very much associated with that first purchase.
01:10 The inspiration I can share with you comes from personal experience and I would say the
01:14 number one thing to think about is planning.
01:17 You've got an objective, you want to buy a house, how much deposit, how much money are
01:21 you making and how are you going to make it work?
01:24 Are you going to make those sacrifices without missing out on life?
01:27 There's no rush, take your time, be realistic, enjoy the journey.
01:32 So Tom, tell me where are you on the property ladder journey?
01:36 I am right at the bottom.
01:38 We're kind of at the beginning stages.
01:40 Okay.
01:41 Can you tell me what it's been like so far?
01:43 You do see your friends going out on nice holidays, nice experiences and you think to
01:48 yourself, I really wish I could be doing that.
01:50 I've already turned down some travelling experiences and holidays so it's already starting to impact
01:55 me in that way that I'm not able to do what I would love to do with life.
01:59 So me personally, I've decided to change careers and that's just to speed up the process of
02:04 how much I can save monthly.
02:06 If things were a little easier and we wasn't buying a house, so to say, I think I would
02:11 have stayed in fitness.
02:12 How do you keep positive during this time of personal sacrifice?
02:17 I keep telling myself that it's for a greater good, buying a house, owning a property.
02:22 You have to keep thinking of that end goal.
02:24 You have to think, it's going to feel so great when I'm in.
02:27 Put the key in and go, this is mine, right?
02:29 That's going to be amazing.
02:30 So we're missing out on cars, babies and nights out, all in preference for those bricks and bills.
02:37 Wherever you are on your journey, why not talk to somebody like the Yorkshire Building Society?
02:42 We're ready to help.
02:43 [MUSIC PLAYING]