Buyers Relying On Cash Gifts And Inheritance
More and more buyers are having to rely on the bank of mum and dad as well as other family members to scrape tpgether a deposit in order to buy a home. A recent survey by the housing charity Shelter showed that a third of buyers ages between 25 - 34 were being given cash gifts from their parents to buy a home. This is nothing new as parents have always helped their children to get on the housing ladder but the numbers have shifted upwards signifacantly.
People aged 25-34 now more likely to be renting
Another statistic to come out over the weend is that the number of people in that same age group renting a property has also seen a big s=hift upwards. The sad news is that people aged between 25 - 34 are more likely to be renting that owning their home. It would seem that unless yiu are given a deposit by someone or win the lottery you may be renting for the forseeable future. People simply can't save quickly enough becasue house prices have risen so sharply over the last few years. Even if you are given a deposit to buy home you are likely to be taking out a whopping mortgage particularly if you live in the south-east of England.
Call for more social housing
There is some help for less fortunate buyers who are not given money with schemes such as the help to buy and other government loan schemes aimed at first time buyers. There is evidence that the new schemes the government are offering has eased the pressure on the bank of mum and dad but these schemes are unlikely to last forever particularly as the market gathers monentum. There is a big debate at the moment over what the goverment should be doing to help young people. some experts believe that the help to buy should be scrapped and that the government should build more social housiing. The government has certainly driven up demand for homes but now needs to provide more homes for