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Proportion of people who think now is a good time to buy a home drops

Just over a fifth of people think now is a good time to buy a property, according to the Building Societies Association.

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The proportion of people who believe now is a good time to buy a home has declined in the past three months, according to the Building Societies Association (Yui Mok/PA)

The proportion of people who believe now is a good time to buy a home has declined in the past three months, according to the Building Societies Association (Yui Mok/PA)

The proportion of people who believe now is a good time to buy a home has declined in the past three months, according to the Building Societies Association (Yui Mok/PA)

The proportion of people who believe now is a good time to buy a home has declined in the past three months.

Just over a fifth (21%) of people think now is a good time to buy a property, down from a quarter (26%) when similar research was carried out three months ago, according to the Building Societies Association’s (BSA) “property tracker” research.

Nearly a third (30%) of people do not think that now is a good time to buy, according to the latest findings.

The decline in sentiment is likely to be due to several factors, including the end of the stamp duty holiday in England and Northern Ireland in September, a lack of properties on the market and the emergence of the Omicron variant of Covid-19, the BSA suggested.

It added that with house prices having increased by around 10% in the past year, nearly half (45%) of people expect prices to continue to rise, with just 13% expecting a fall.

It's clear that many families are more willing to share their wealth and give financial help than the younger generation appreciatePaul Broadhead, BSA

Although mortgage rates are at historically low levels, supporting affordability, rising house prices are making raising a deposit increasingly difficult, it added.

The BSA also found that 41% of parents expect to give children money towards buying a home, but only 24% of first-time buyers are expecting some cash.

Paul Broadhead, head of mortgage and housing policy at the BSA, said: “With house prices rising considerably more than inflation and wage growth, it’s not surprising that first-time buyers find raising a deposit the most difficult aspect of getting on the property ladder and something it is hard to keep pace with.

“But it’s clear that many families are more willing to share their wealth and give financial help than the younger generation appreciate.

“Perhaps families should use the festive period to talk candidly to each other about their future plans and aspirations and how best to use their intergenerational wealth.”


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