A recent survey from HSBC UK has revealed a significant shift in the sentiment of first-time buyers across the UK, with nearly seven in 10 (68%) of prospective first-home buyers now feeling more confident about achieving home ownership than they were at the beginning of 2023. The data highlights a significant shift in sentiment among prospective homeowners, emphasising growing optimism in the property market.
When looking at the data from a more local lens, it is revealed 59% of people in the North East feel they are more likely to buy their first home than they were six months ago. The survey discovered many people looking to buy their first home in the North East (66%) are willing to purchase a home that requires improvements to reduce the initial cost, over a home that does not require improvements but has a higher initial cost. Many believe the purchasing of a fixer upper assists in providing access a property in a location that would otherwise be too expensive and that it prepares the potential to add value to a property.
The most important reason why people living in the North East want to buy their first property is the need for independence, as cited by 28% of respondents, followed by 21% of respondents who want financial security. The results also revealed that family is at the heart of respondents in the North East’s decision to buy their first property, as 17% want to buy their first property to start their family and 14% want to provide for their family by buying their first property.
Andrew Matson, Head of Mortgages at HSBC UK, says, “It’s encouraging to see more optimism amongst first time buyers. The first half of this year has been challenging, but the shift in attitudes is reassuring and highlights the resilience of the housing market.
“At HSBC UK, we have been supporting our customers through the recent economic challenges in a number of ways, this includes providing support under the Mortgage Charter. We have also developed an online guide for first time buyers and I would encourage anyone looking to purchase their first home to use the guide.
“While we don’t have a crystal ball to see what the future holds, it is pleasing to see the positive sentiment running throughout our research and we will continue to lean in to help support our customers.”