Lockdown has helped nearly a third of homebuyers get on the ladder

Lockdown's helped homebuyers save for their deposit

It’s been a long road and the end is (hopefully) near, with an exit plan in place to gradually reduce lockdown restrictions.

However, we've found that there has been one silver lining to lockdown for 27% of recent homebuyers: They say that the numerous stretches of restrictions over the last year have helped them save to get on the property ladder.

Where have homebuyers saved the most cash?

Lockdown restrictions have impacted all areas of life from our ability to travel, work, socialise and see family.

Our research shows that there is one clear winner when it comes to the driving force behind a homebuyer saving boost.

Social life & travelling costs lead the savings

46% of those asked stated that the drastically reduced spend across their social life helped them to get a foot on the ladder.

A further 33% saw working from home and a lack of commuting help bump up their real estate nest egg.

A reduction in family costs has helped 10%, while 6% received an inheritance due to bereavement and 5% saved on rent due to moving back home with their parents.

Still time for more to benefit

Matthew Cooper, Founder & Managing Director of Yes Homebuyers, commented:

“There’s no one on the planet who wouldn’t like to erase the last year from history and lockdown has been hard for so many people for a whole variety of reasons.

At the same time, there have been some great stories of resolve, survival and adaptation emerging across all areas of life and this is indicative of our nation and how we come together when times are tough.

While we’re all chomping at the bit to get back to some form of normality, it’s also great to see that for a third of homebuyers lockdown has helped them to achieve their goals of homeownership.

With little else to spend our money on and a further tax saving due to the stamp duty holiday, there’s never been a better time to get a foot on the ladder and hopefully, many more will continue to benefit.

House prices have risen - which does make it harder for buyers

"Of course, there is the flips-ide of the equation to consider too: House prices have risen sharply since the lifting of the first lockdown, so it's costing buyers more to get on the housing ladder.

Ultimately though, because buyers typically use a mortgage of 80% or more, the amount buyers have managed to save has more than outpaced the increase deposit they've needed to get on the housing ladder.