67% of first-time buyers are concerned about increasing house prices, according to new research from leading self storage provider, Ready Steady Store.
The research, which surveyed over 500 first-time buyers on their plans for property investment in 2025, also revealed that 45% are looking to acquire their first home this year, with a further 10% unsure as to whether they will take the plunge in the next 12 months.
In addition to rising house prices, 64% of respondents advised they are concerned about mortgage rates, 39% are worried about legal fees and 45% are apprehensive about the rise in Stamp Duty costs ahead of the Government lowering the threshold this April to ยฃ300,000.
This comes as the latest figures from Rightmove reveal that first-time buyer demand has increased by 31% in London over the last 12 months alone as more buyers try and secure their property ahead of the shift in Stamp Duty โ particularly as just 8% of homes in the capital will be Stamp Duty free from April.
Similar increases in first-time buyer demand are also prevalent in the south-east [24%] and east [32%] of England.
When questioned about whether they would leverage any Government schemes to support their jump onto the property ladder, 32% of first-time buyers advised they would consider Shared Ownership, 46% the First Homes Scheme and 44% Rent to Buy.
Furthermore, a massive two thirds advised they would choose property over location to secure the first home of their dreams, with a further 17% โunsureโ.
Other key takeouts from the research include:
- 72% of first-time buyers are purchasing their first home using savings, whereas 16% are using a gifted deposit and 17% inheritance.
- Property budgets vary significantly amongst survey respondents, with 17% looking for a property between ยฃ100k – ยฃ150k, a further 17% budgeting for ยฃ150k – ยฃ200k, 13% ยฃ200k – ยฃ250k, 15% ยฃ250k – ยฃ300k and 13% over ยฃ350k.
- Over half [53%] of first-time buyers with a budget of ยฃ250k+ are looking to leverage the First Homes Scheme to acquire their first home, with 38% planning to utilise the Shared Ownership Scheme.
- Conversely, 28% of individuals looking to purchase a property under ยฃ250k are looking to acquire their first home on their own.
- 62% of first time-buyers plan to utilise self storage to aid the moving process once they have found their dream home.
- 29% of first-time buyers are looking to โupsizeโ their property when purchasing their own home, with 25% looking for a property of a similar size to their rented accommodation.
Discussing this latest research, Mehran Charania, Director of Ready Steady Store, said, โThe UK property market has been incredibly tough for first-time buyers in recent years, with volatile mortgage rates, high house prices and an ongoing cost of living crisis.
โHowever, this latest research showcases the sheer appetite amongst first-time buyers to get onto the property ladder, where initiatives like the Shared Ownership and First Home Scheme are clearly going to be leveraged โ particularly as the cost of Stamp Duty will rise come April.
โOverall, despite viable concerns over house prices and mortgage rates, we deem this data quite positive as it affirms industry predictions that the UK property market will continue to grow and develop during 2025, where we at Ready Steady Store are here to support first-time buyers, second steppers and all other movers alike!โ
Established in 2005, Ready Steady Store is an award-winning self storage provider with cost-effective storage units located in the Midlands, South, North and East of England.
For more information, visit: https://www.readysteadystore.com
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