First-time buyers are increasingly choosing smaller properties in order to get on the housing ladder.
This is according to a survey of 500 practicing valuers and surveyors by e.surv.
Uncertainty surrounding mortgage rates and house prices remain the primary obstacles for aspiring homeowners, with 31% and 29% of surveyors respectively citing these concerns as significant barriers.
In response to these affordability constraints, first-time buyers are gravitating towards smaller, more manageable properties. Two-bedroom resale terraces emerged as the most sought-after option, reflecting the desire to balance affordability with living space.
This trend is particularly evident in London, where 22% of respondents indicated that parental assistance from the Bank of Mum and Dad was crucial in securing a home.
To further enhance their purchasing power, buyers are exploring a range of financing options. Notably, 18% are considering affordable home ownership schemes, 16% are willing to extend mortgage terms, and 16% are open to exploring less expensive neighbourhoods. These findings highlight the proactive measures first-time buyers are taking to overcome affordability challenges and realise their dream of homeownership.
Commenting on the survey e.surv head of research Rob Owens said: ““With interest rates for home purchases projected to fall in 2024, the prospect of homeownership may become more attainable for a wider pool of potential buyers.
“The survey findings underscore the resilience and adaptability of first-time homebuyers actively seeking solutions to navigate the current market challenges and achieve their homeownership aspirations.”
