The lot of the first-time buyers

Once upon a time, back in the fifties and sixties, it was possible to afford a good-sized house with a mortgage that was based solely on the one salary or wage. Of course, the dynamics and social norms of the period simply categorised the male and female roles as "bread-winner" and "home-maker", which made it imperative that the mortgage was able to be paid off with that one income stream.

Time passes fortunately and those roles are sufficiently blurred to become meaningless in today's society, so that the home-making and child-rearing responsibilities are hopefully shared equally. At the same time, it is now the societal norm for each part of the couple taking up a career, meaning that there are likely to be two income streams in such domestic set-ups.

However, what has also happened to the housing market in the meantime, since those distant days of buying a home on one income, is that house price inflation has far outstripped the pace of the average income increase, which means that the disparity between what can be afforded and the supply of desirable homes is increasing.

Of course, if you are on the property ladder already, this is good news because you can take advantage of the rising prices that feed increases in the available equity should you want to sell. In turn, this means that you are better positioned for buying a more expensive property with more space for the family.

But, if you are a first-time buyer, it is far more difficult.

The additional problem to finding the deposit and plan for mortgage repayments, though, is that, while you are renting, rental prices have also increased at a pace that exceeds the average income increase over the same time. The practical result is that it becomes increasingly harder to squirrel away a significant amount each month to build up the necessary deposit required before a mortgage lender is prepared to lend you the money.

It's for this reason that successive Governments have brought in schemes specifically for the use of first-time buyers. After all, not only is the housing market a significant indicator of the health of the economy but, since the first-time buyer is likely to fall into the younger age category, they are the future of the country and therefore the economy, so it makes sense to give this specific group a special help in buying their first property.

BBC News has done some investigation on this very subject, and they have spoken to different people who are buying their first home, either as an individual, a couple or as a group, to find out their experiences with their choice of direction. The article notes that first-time buyers often rely on the assistance from the Bank of Mum and Dad, too. You can read more on the BBC findings here.

In summary, the BBC's investigation looked at the following scenarios:

Government schemes and ISAs

Lifetime ISAs (LISAs) - the LISA is a government scheme that encourages those adults aged under 40 to save, so that they can take advantage of the government-guaranteed bonus of 25% for the purchase of a home under the asking price of £450,000. The case looked at by the BBC talked to a couple who pooled their LISAs for a larger purchase capability.

Help to Buy ISA - this government scheme was designed to give help to the first-time buyer by adding 25% to the savings to put forward to buying a home. The scheme is no longer open to new applicants (replaced by the LISA - see above), although those with current Help to Buy ISAs can still take advantage of it until November 2030.

Alternative mortgage products

Booster mortgages - some lenders are prepared to provide mortgages to first-time buyers that not only take into account the applicant's annual income to calculate how much can be borrowed, but also factor in the income of a second person to "boost" the overall income. The BBC's example saw a young man including the income of his father to the pot.

Other mortgage products - mortgage companies are in the business of making money, which is why they charge interest on any loan they provide, which is simply the charge for taking the risk with lending the money. It would be unreasonable to marginalise the section of the population that are would-be first-time buyers. To this end, they offer a variety of products, such as low-deposit mortgages (which incurs greater interest rates because of the higher financial risk) or, say, forty-year mortgages (with the payback spread across a longer time, the repayments each month are less than a standard mortgage). It's worth considering talking to a mortgage broker, who will have all the information to find a product that fits you best.

Location and property strategies

Cheaper area - if it's feasible to do so - for example, no dependants or work, commuting or lifestyle commitments - getting on to the property ladder can be assisted by doing your homework and searching for a property from a part of the country that is simply cheaper, thus requiring less financial outlay starting with that deposit. The BBC example saw a couple relocating from Oxfordshire to Manchester.

Buying a "fixer-upper" - some people are put off by the prospect of "taking on a project" (as the various property television shows euphemistically refer to it), but, if you are prepared to do the work (or wait until you can afford to do so), this might be a suitable option, since a tired, even near dilapidated property will be, in many cases, a considerably cheaper option - just be sure to take out a survey so that you understand the condition before you buy. The BBC article looked at someone who supplied the deposit with family help.

Creative financing solutions

Shared ownership - the shared ownership scheme is designed to help first-time buyers by allowing them to buy a share of the property, while paying rent on the remainder, thereby reducing the amount of the deposit.

Subletting rooms - If you are happy to have someone living with you, you can use the money they pay in rent to help with the costs of running the home. The previous two examples in the BBC article saw the extra bedroom being sublet to a lodger, too.

It's not an easy time to be a first-time buyer but, as can be seen from the BBC News article, there are still some interesting options to be looked into to help you step up on that all-important rung.

There is one other option that might be worth considering. Since being on the property ladder already will make future homebuying far easier, you might wish to consider buying a property - any property (within reason) - just to get a foothold. With work and time, that will evolve into greater equity which can then be put into another property in the future.

However you want to approach your first purchase, you'll want to get the legal process moving as quickly and as efficiently as possible.

To this end, look no further than Homeward Legal, whose conveyancing solicitors are focused on your needs with a drive to complete your transaction as quickly as possible.

Our conveyancers will start work on your plans as soon as you agree to the quotation and appoint them to represent you.

Fixed-price conveyancing with no hidden costs

Homeward Legal will also provide a quote that will not change - what you are quoted is what you pay for standard conveyancing process, which means you can effectively budget for your conveyancing needs.

There are some unforeseen items that might arise during the purchase and/or sale, which includes a specialist flood assessment report, but the solicitor discusses these and their cost as they come up.

No completion, no fee promise

In addition, to protect the homebuyer further, Homeward Legal operates a 'no completion, no fee' promise, which ensures that, should the purchase or sale not go through as planned to completion status, no payment is required.

Call to get your conveyancing quote started, or to discuss your concerns with your plans to move.

Or you can get a quick quote, using Homeward Legal's easy-to-use quote generator.