Younger buyers have not given up on owning a home, despite rising prices and the difficulty of saving a deposit. Research from Leaders Romans Group (LRG) found that 84% of respondents under 45 consider homeownership essential, compared with 70% of those aged 65 and over. Across all age groups, 75% regarded owning a home as essential.
Deposits take priority over lifestyle spending
The survey, which questioned people looking to move, found that most favour buying a home to live in rather than as an investment. If starting out today, 82% said they would purchase their own home first, while just 6% opted for a buy-to-let property. More than half (55%) said they would prioritise saving for a deposit, even if it meant sacrificing other spending, while 24% preferred balancing saving with enjoying life.
Mark Manning, managing director of Northern Estate Agency Group, part of LRG, said: “I hear it said a lot that younger people have stopped caring about owning, but that isn’t who comes through our doors. Across Manning Stainton, Ryder & Dutton and Mortimers, we meet people in their twenties, thirties and forties who know exactly what they want and have usually been working towards it for years.”
Regional affordability gap remains wide
Despite strong demand, the time needed to save a deposit varies considerably across the country. Nationwide estimates that saving a 10% deposit takes around four years in northern England, compared with nine years in London, assuming buyers save 10% of average net pay.
Stamp Duty also creates a significant regional divide. Zoopla research found that just 2.1% of first-time buyers searching in the North East would face Stamp Duty on their target properties, while in London the proportion was 79.7%. The figures relate to homes first-time buyers were looking at during the first half of 2026.
Manning said: “Prices have gone up here too, so it still takes commitment. But a deposit here is still a target people can see the end of, and that changes how they go about it. They plan, they save and they turn up ready to go.”
First-time buyers await Budget announcement
Attention is now turning to the Autumn Budget on 28 October, with the government expected to provide further details of its proposed Your First Home scheme. Under the proposals, eligible first-time buyers could purchase a new-build property with a 2.5% deposit, supported by a 20% equity loan, though final terms have yet to be confirmed.
Tim Foreman, managing director of land and new homes at LRG, said: “For most first-time buyers, the deposit is the hurdle, not the wish to buy, so help with it is welcome. Help to Buy took a few months to bed in before people understood it, and this may be the same. Anyone ready to buy now shouldn’t feel they have to wait.” He urged buyers to assess the scheme’s costs before making decisions.
Manning added: “My advice to anyone under 45 who thinks owning is out of reach is to get the numbers done properly before deciding that. Find out what you can borrow, what the deposit really needs to be and what the whole move will cost. Sometimes it’s closer than people assume.”
