Half (52%) of prospective buyers say the current economic climate has impacted who they plan on buying a property with, and who they might have to share their property with, research from Mortgage Advice Bureau has revealed.
Over half would consider having a lodger to help supplement their outgoings. Of this number, 17% say they definitely plan on having a lodger, and 21% say they’d consider having a lodger to specifically help cover the costs of household bills.
Almost one in five (18%) will now need to buy with a partner, 9% with the help of a family member, and 7% are planning on buying with a friend. Only one in ten (10%) believe they will be able to buy alone.
Ben Thompson, deputy chief executive at Mortgage Advice Bureau, said: “The difficult and volatile economy has significantly changed the game for prospective buyers. For 15% of this demographic, it means they have already delayed homeownership plans.
“As high inflation levels dig deeper into people’s finances, many will be finding it incredibly difficult to stash away funds for deposits and subsequent mortgage repayments – especially those seeking to buy alone.
“A good way to help generate some extra money to pay for bills or contribute to a mortgage is to consider getting a lodger. However, it is important to note that you should still ensure you’ll be able to meet your mortgage repayments each month, and be able to go without that extra cash in the event they move out.”
There are also signs of increasing numbers of aspiring homeowners needing a mortgage guarantor. A fifth (20%) of those in the early stages of their homebuying journey believe they’ll need a guarantor – that’s double the number (9%) of those who are more advanced in the process and nearer to completion.
Economic uncertainty, fuelled by high inflation and interest rates pushing rents and mortgage rates up, is the biggest barrier standing in the way of homeownership according to two in five (42%) homebuyers. Saving for a deposit (32%), a slowdown in the housing market (27%), and being accepted for a mortgage (25%) also ranked highly as major obstacles.