FTBs face nearly a decade of saving for deposit – HBF

The Home Builders Federation is calling for a targeted home ownership scheme as its latest research reveals that first time buyers face almost a decade of saving to afford a deposit for a home.

HBF’s Broken Ladder considers house prices, earnings and mortgage costs in different regions. Its research shows that after rent and bills, the average first-time buyer in England would need to save half of their remaining monthly income over nine years to access a deposit to buy a home.

In the East of England, this rises to more than a decade and to more than 13 years in London and the South East.

HBF’s analysis reveals that if a first-time buyer were to save all of their earnings, it would still take four years to raise the funds necessary for the average house deposit.

After rent, council tax and energy bills, the average first-time buyer in their twenties in England has only £469 left each month, according to the research. The deposit needed for a first-time buyer home, priced at around £250,000 on average, would therefore be 442% of their remaining income.

This rises to 680% of discretionary income in the capital where …