Buyers who use a Lifetime ISA (LISA) can shorten the saving period by almost two years. The government-backed scheme allows buyers aged 18 to 39 to save up to £4,000 per year and receive a 25% bonus on contributions. A couple both saving into a LISA could reach their target in four years and nine months. The government has announced plans to replace the LISA with a new First Time Buyer ISA in 2028, with no upper age limit.
Buyers in London face the most prolonged saving journey, requiring approximately 13 years to accumulate the £47,692 needed to purchase a first home in the capital. By comparison, buyers in the North East need around six years and seven months to raise £16,763 — roughly half the time. On average, first-time buyers in the South of England require 40 months longer to reach their target than those in the North.
Data from reallymoving also shows that more than half (53%) of first-time buyers purchased a three-bedroom property or larger in the past year. The research notes that the average age of first time buyers has risen to 34, with larger household needs and a preference for reducing the number of future moves both cited as factors.
“Raising a deposit and covering the cost of moving is still the biggest challenge facing most first-time buyers who don’t have access to financial support from parents and grandparents,” said Rob Houghton, founder and chief executive officer at reallymoving. “
“With the cost of living and rents so high, putting money aside month after month is increasingly difficult and even first-time buyers who save consistently are looking at almost a decade of saving until they can afford to get on the housing ladder.