The survey revealed that most potential first-time buyers support stronger mortgage regulation despite such regulations possibly preventing some people from getting mortgages.
Shelter has called on the Financial Services Authority to implement reforms set out in the Mortgage Market Review that will increase regulation and for the government to support it.
As well as finding support for stronger regulation, the survey also revealed that 84% of first-time buyers believe that banks should only offer mortgages to borrowers who can prove they can afford it.
A little over half of first-time buyers stated that the high cost of homes and not the availability of credit was the biggest barrier to them getting on the property ladder, and that 28% of first-time buyers had been offered a bigger mortgage than they had asked for or knew someone that had.
Campbell Robb, chief executive of Shelter, said: “This survey shows people really want simple common sense rules in place to ensure people borrow money responsibly. What is most striking is the level of support amongst first-time buyers who clearly want greater protection and are well aware it might limit their chances of getting mortgage credit in the future.
"So far the voice of the consumer has been completely drowned out by the mortgage industry, when in reality it is this very group who most recognise the need for stability in the market. We must not let banks go back to the old ways of irresponsible and reckless lending."
Matt Griffith, spokesman for first-time buyer group Priced Out, said: "First-time buyers have borne the brunt of loose mortgage lending in the past. Loose lending has driven up house prices to sky high levels and first-time buyers have too often been expected to take unacceptably high financial risks when trying to get on the ladder.
"First-time buyers know that getting on the housing ladder is hard work and we are prepared to work and save to get there. What we don't need is a housing market that behaves like a casino. We just want to buy a home to live in, not a life of risky debt. We expect the government to protect us from irresponsible lending and make sure our interests are put before those of the mortgage lobby."
Responding, the Council of Mortgage Lenders expressed surprise that Shelter seems unaware that mortgage lenders do, in fact, support reform. However, it said it is the detail of that reform that needs care if undesirable and unintended impacts are to be avoided.
Unsurprisingly, Shelter's findings found that 87% of respondents agree with the general statement that lenders should only give loans to borrowers who can show they can afford it. The CML agrees too, and also agrees with the three principles of affordability tests, income verification, and interest rate stress testing.
The CML said it also agrees with Shelter that government should listen to consumers, as well as lenders and others, on housing issues. That is why it funded the extensive independent research undertaken by Policis last year involving both quantitative surveys and qualitative focus groups among various different types of consumers, which found that consumers' views are complex and varied, on the one hand balancing support for tighter regulation while on the other hand being reluctant to see good borrowers unnecessarily excluded from achieving home-ownership.
CML director general Michael Coogan said: "The question is not whether to implement changes to mortgage regulation, but when and how. Given the continuing subdued nature of the mortgage market and the tight criteria still prevalent, there is no rush and it is far better to ensure that UK and European regulatory changes are coherent and implemented in tandem.
"Far from bowing to the banking lobby, as Shelter puts it, a measured approach from regulators and government is simply good sense in a market where there are as many risks from too much regulation as from too little."
