Mortgages

92% of first-time buyers to seek advice

Rozi Jones
|
14th October 2020
mortgage house first time buyer first-time complete
"Given the uncertainty of the market at present, it’s positive that the demand for advice is so high"

92% of first-time buyers will seek guidance when purchasing their home, according to new research from Accord Mortgages.

Nine in ten of those questioned in the national poll said they would need help, despite two thirds (65%) claiming they knew the house-buying process well.

And there is opportunity for brokers to offer support in the coming months, as one in three first-time buyers (35%) now expect to buy sooner as a result of Covid-19.

Over two thirds (68%) of first-time buyers said a house purchase was an important milestone they wanted to achieve, with 72% believing owning their own home was essential to feeling they had succeeded in life.

The three biggest barriers to purchase were the upfront costs (34%), saving for a deposit (32%) and the cost of housing in their desired area (32%). Whilst 74% of men claimed to know the purchase process well, this dropped to 54% of women, who are also more likely to admit to lacking confidence in knowing what is involved.

Jeremy Duncombe, director of intermediary distribution at Accord Mortgages, commented: “Given the uncertainty of the market at present, it’s positive that the demand for advice is so high and those purchasing for the first time are seeking professional help to navigate the process.

“Whilst we are committed to offering our support to this sector through the limited releases of 90% LTV products, we know the restricted availability of low-deposit mortgages will present a challenge for some buyers.

“Taking that first step on the property ladder is a real milestone. Whilst Covid-19 has clearly had an impact, many first-time buyers have been able to save more during lockdown and will benefit from the stamp duty holiday so are now in a stronger position to achieve their goal. That means there’s a fantastic opportunity for advisers to offer their services where they are needed the most.”

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