Website www.50connect.co.uk, the UK’s largest portal for the over 45s has found that over 63% of its members intend helping their children to buy their first home.
Today’s highly competitive housing market and astronomical house prices it is little wonder that parent’s are increasingly helping their children in purchasing first homes.
With the average UK house price now standing at £150,000, as many as 56% of over fifties believe that young people would not be able to buy a new property without the assistance of their parents.
The average amount of money those surveyed hoped to give to their children to buy a house was £5,000, or a sizeable amount of the deposit required to secure a better mortgage deal for their off-spring. A third of those surveyed said they would not want the money back.
Commenting on the results of the survey, Philip White, Finance Columnist at www.50connect.co.uk, said:
“For those over forty-fives who have already paid off their mortgage helping their children buy a property will be relatively easy,”
“But for the majority, helping their children onto the property ladder will mean having to re-mortgage or increase their mortgage repayments.”
Parent’s helping their children onto the property ladder is nothing new, a combination of higher property prices and the increased affluence of seniors, suggests that helping children onto the property ladder will become increasingly the norm.
