Many potential first-time buyers are taking an unduly pessimistic view of their prospects of financing a purchase, leading them to abandon the idea of owning their own home before they start looking, according to new research from lenders.
Almost half (47 per cent) of people who were keen to buy had never spoken to a lender or mortgage broker to assess their financing options. But two-thirds (67 per cent) said they could make a purchase sooner than they had thought, after they were shown financing options.
The research by the Building Societies Association, which represents all 42 societies in the sector, said the response to its survey of 1,000 UK adults who were yet to buy highlighted “a clear gap between perception and reality”.