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First-time Buyers

46% of first-time buyers turn to affordable housing schemes

paulajohn
Written By:
paulajohn
Posted:
Updated:
10/11/2012

Almost half (46%) of first time buyers are considering turning to shared equity and shared ownership schemes to help them onto the property ladder, according to latest research from Lloyds TSB.

 Of these, one in four (26%) said affordable housing schemes were their only option for getting onto the property ladder and they would not be able to buy a home otherwise.

One in six (15%) say they wouldn’t previously have considered an affordable housing scheme, but the economic downturn has forced them to change their minds.

One in four (25%) said the main driver behind using such schemes is lower monthly mortgage repayments, with 24% citing the fact that such schemes would allow them to buy in areas they could not otherwise afford.

Eight in ten (81%) first-time buyers claim to have a basic or good understanding of shared ownership schemes, while only 64% understand shared equity schemes (64%).

However, despite relatively good levels of understanding, four in 10 first-time buyers are unaware of the affordable housing schemes available to them in their local area.

Those living in the East are the most aware in England of the availability of local schemes, with only 30% unaware.

Stephen Noakes, Director of Mortgages, at Lloyds TSB, said:

“Affordable housing schemes play a key part in helping first-time buyers onto the property ladder, and our research shows that almost half of them would now consider signing up to buy their first home. However, many more may be unaware of how these schemes can help them onto the property ladder, or indeed the availability of them in their local area.

“Whether you are buying your first property outright or through an affordable housing scheme, Lloyds TSB has a range of mortgage products that can help purchasing your first home easier.”