First time buyer deposits - UK average now £57000 !

Capri84

I was surprised by this today, the average deposit paid by a first time buyer in the UK is now 57k

https://www.thisismoney.co.uk/money/mortgageshome/article-9177085/Will-2021-end-time-buyer-squeeze-sent-deposits-57k.html

halifax today announced the relaunch of their 95% mortgage products, but they apparently won’t allow deposits that haven’t been fully saved by the borrowers. That sort of deposit is surely out of reach for many (solely from their own pocket)

Angela_D_3

Yeah and climbing the times salary available has dropped in under 3 months.  At Christmas they would lend 4.5 x now its 3.5 x leaving me with another £11,000 to find which luckily i have but it takes the deposit as a FTB to £65,000 and Halifax turned me down 🤣

The_Real_Cheddar_Bob

Capri84 said:

I was surprised by this today, the average deposit paid by a first time buyer in the UK is now 57k

https://www.thisismoney.co.uk/money/mortgageshome/article-9177085/Will-2021-end-time-buyer-squeeze-sent-deposits-57k.html

halifax today announced the relaunch of their 95% mortgage products, but they apparently won’t allow deposits that haven’t been fully saved by the borrowers. That sort of deposit is surely out of reach for many (solely from their own pocket)

That's what the baby boomers are for. 

edgex

Is it really a deposit, or just the average amount not being mortgaged?

If most mortgages available are 90% max, then that's a 10% deposit required. Which would make the average purchase price £570k!

grumiofoundation

Capri84 said:

I was surprised by this today, the average deposit paid by a first time buyer in the UK is now 57k

https://www.thisismoney.co.uk/money/mortgageshome/article-9177085/Will-2021-end-time-buyer-squeeze-sent-deposits-57k.html

halifax today announced the relaunch of their 95% mortgage products, but they apparently won’t allow deposits that haven’t been fully saved by the borrowers. That sort of deposit is surely out of reach for many (solely from their own pocket)

Don’t really understand what you are trying to say? 

People who need a 95% LTV product aren’t going to have 57k deposit (1.14M property). 

Halifax product limited to 500k loan anyway. 

SpiderLegs

Capri84 said:

I was surprised by this today, the average deposit paid by a first time buyer in the UK is now 57k

https://www.thisismoney.co.uk/money/mortgageshome/article-9177085/Will-2021-end-time-buyer-squeeze-sent-deposits-57k.html

halifax today announced the relaunch of their 95% mortgage products, but they apparently won’t allow deposits that haven’t been fully saved by the borrowers. That sort of deposit is surely out of reach for many (solely from their own pocket)

It’s not really surprising is it?
lots of high LTV mortgage products were removed last year, so that pushes the average up.
As they are returned and the govt backed 95% mortgages are introduced, the average will drop back.

Finchy2018

I had to put a 15% deposit down to buy my first property in 2019, which was 240k, so it doesn't surprise me. It's all good and well saying only need a 5% or 10% deposit to buy a house but that all depends on your income and property prices in your area . 

RoisinDove

Angela_D_3 said:

Yeah and climbing the times salary available has dropped in under 3 months.  At Christmas they would lend 4.5 x now its 3.5 x leaving me with another £11,000 to find which luckily i have but it takes the deposit as a FTB to £65,000 and Halifax turned me down 🤣

Huh? I got a mortgage in principle early in the year which said I'd get about 4.5 times salary so I hope this isn't the case for me! 

lookstraightahead

I spent years not able to buy a property following divorce. The banks don't want the risk which is fair enough.

Sunsaru

lookstraightahead said:

I spent years not able to buy a property following divorce. The banks don't want the risk which is fair enough.

Strangely, I was able to buy only once I got divorced!

MaryNB

RoisinDove said:

Angela_D_3 said:

Yeah and climbing the times salary available has dropped in under 3 months.  At Christmas they would lend 4.5 x now its 3.5 x leaving me with another £11,000 to find which luckily i have but it takes the deposit as a FTB to £65,000 and Halifax turned me down 🤣

Huh? I got a mortgage in principle early in the year which said I'd get about 4.5 times salary so I hope this isn't the case for me! 

Over on the mortgages boards someone said Halifax would be granting 95% mortgages up to 4.49x salary. 
There are a lot of restrictions and "enhanced credit scoring"