Property Savers Need To Be Disciplined
Discipline needs to be exhibited by people saving for a new home, as those who are frivolous with their spending will struggle to achieve their goal, one specialist has commented, says Zoopla.
According to Matt Griffith, spokesman for PricedOut, it is particularly important to be dedicated when saving, as the days of 100 per cent mortgages are long gone, so the bigger a deposit is, the better. The less the deposits turn out to be the more over valued houses are to purchased.
His comments follow the publication of a report by Halifax, which showed that although over three-quarters of non-homeowners want to own their own home, just 14 per cent are saving and making sacrifices to their lifestyle to achieve their ambitions.
The survey found that only 32 per cent of non-homeowners have a realistic plan to buy a house within the next five years, with 14 per cent say they are saving every penny they can for a deposit and making sacrifices in their daily lives in order to achieve this.
Mr Griffith said the combination of very high house prices and large deposit requirements means the size of savings required is still daunting, however. He noted that savers need to set aside regular contributions of "significant amounts", making discipline all the more important.
"Lack of saving is not the main reason first-time buyers can't afford housing - they are unlucky enough to find themselves at the end of the UK's largest ever house price boom and are paying the price of decades of failure to build more housing," the expert warned.