Almost half of 18- to 35-year-olds plan to wait until they have a partner to share the costs before they buy their first home, according to new research.
Halifax’s Generation Rent study found that 45% of people in this age group aim to buy their first home with their ‘BAE’ (an acronym for ‘Before Anyone Else, meaning a partner or loved one).
The bank also found that twice as many men (one in five) than women said they were waiting to find a partner before buying a home.
But women were less confident about eventually buying a home, with 42% claiming homeownership was not a realistic goal – compared to 35% of men.
While both sexes see lack of income preventing them from buying a first home, only 55% of men blamed their salaries, compared to 70% of women.
Becky Spellman, psychologist and cognitive behavioural therapist, says: “It may feel surprising that twice as many men than women admitted waiting for their ‘BAE’ to try and get on to the property ladder, but this can be linked to the logic behind accessing a bigger mortgage as a result.
“There are many more complex reasons why women are less confident than men about getting on the property ladder, but it comes down to being financially confident. Women on average take fewer risks with their money, they also don’t ask for pay rises in the work place or don’t talk about money the same way men do,” she adds.
Pub versus family life
Other gender differences emerged over the amenities that these would-be homeowners prefer. A quarter (25%) of men would like to live near a coffee shop, gym and pub, compared to 10% of women.
More focused on the future, 39% of women felt that having a home that was large enough to raise a family was important. More than a quarter (27%) of women wanted their future home to have a large outdoor space, while only 16% of men were worried about this.
More than a quarter (28%) for both sexes wanted to be close to their families. However, only 9% wanted to be close to their partner’s family.
Almost one in six (15%) of the millennials Halifax polled plan to stay with their parents until they can afford to buy and hope to do so within the next five years.
One in 20 are resigned to the fact that they may never own their own home, with the same amount saying that buying a house may not be right for them.
And it seems that parents will be stuck with the under 25 year olds for years – one in 10 in this age bracket believes it will take nearly 10 years until they can buy a home and expect their parents to help out financially.
Martin Ellis, Halifax housing economist, says: “It’s not difficult to see why so many young people are now waiting for a partner to take their first step on to the property ladder, as the average UK first-time buyer deposit reached a whopping £32,899 earlier this year.
“With many people trying to fund day-to-day living while saving for a deposit for a first home may not even be able to imagine raising this amount of cash on top of all their regular outgoings, first-time buyers in the UK are still on average £651 a year better off buying their own home compared to renting.”