Archive | First Time Buyer Exclusion

The Model Works counter that mortgage repayments are pegged to the original purchase price and so the issue is not the cost on day one, but the cost in 20 years’ time.

The Model Works disagree and argue that first-time buyers who spend their twenties renting lose out by around £270,000 as rents goes up with inflation.

Promoting initiatives like Help to Buy and the Funding for Lending Scheme that cause property prices to rise is symptomatic of this Government’s attitude and priorities – so I have some blunt advice for my children.

The Model Works, say it’s important to fix the system first before getting carried away with schemes like Help to Buy.

The Model Works indicates the returns from investing the savings made on buying a home at 24, as opposed to 37, could amount to £240,000 over a person’s life.

Delays in getting on the housing ladder will cost the average first-time buyer over £270,000 over their lifetime, or twice the cost of a typical first time buyer home, but those forced to rent into their retirement could pay even more dearly driving up housing benefits and state long term care costs to truly unsustainable levels.

Delays in getting on the housing ladder will cost the average first-time buyer over £270,000 over their lifetime, or twice the cost of a typical first time buyer home, according to independent research by The Model Works.

Older first-time buyers who spend their twenties renting could have lost out on more than £270,000, according to analysis by The Model Works.

In the 1960s the average first time buyer was 24. Now, ‘unassisted’ first time buyers are 37. The Model Works examines the resulting costs for prospective homeowners.

Brian Hall, a UK management consultant with 30 years experience of the financial services sector and founder of The Model Works, imagines what life could be like for first-time buyers.