Two thirds of people aged between 20 and 45 who have got a mortgage since 2012 had financial help from their parents, research by Halifax has shown.
The survey of over 9,000 people revealed that 60% of people in the same age group who currently rent expect financial help from their families to buy a home.
More than a third (38%) of parents reported concern about their own finances as a result of helping their children with mortgages.
The survey also found that:
- nearly 60% of parents expect to help their children onto the property ladder, or have already done so
- 92% of parents think it “hard or impossible” to first-time buyers to get a mortgage
- 1 in 4 parents said their children had moved back in with them after failing to get a mortgage
- 92% of parents do not think their children would help them financially in return.
Craig McKinlay, mortgage director at Halifax, said:
“For many buyers, parental support is now the fundamental step onto the property ladder.
“For parents whose children are looking to buy, and for those first-time buyers now wanting to own, real consideration needs to be given to set realistic time-scales and ways in which this can be achieved without either party being overstretched of facing longer-term financial difficulty as a result.”
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