25
Apr
Families 'assisting first-timers'
First-time buyers are looking to get more help from their families
financially as a result of the credit crunch, the Council of
Mortgage Lenders (CML) has claimed.
Such avenues provide an extra "option" for younger people
attempting to get on the property ladder, the CML said, especially
as most 100 per cent deals have been discontinued.
Now parents can fall back on equity growth that they have witnessed
during the boom years to help out their offspring with deposits,
spokesman Bernard Clarke asserted.
Moreover, first-timers should also exert an element of caution when
opting for personal loans to cover deposits as they will have "two
debts to service".
"That may be an option for those who have a large income, whose
problem is … that they simply haven't got the immediate
liquidity to provide a deposit," he commented.
In February this year, first-time buyers accounted for 37 per cent
of those purchasing property, the CML stated recently.