2020’s Bank of Ireland first-time survey reveals that almost half of first-time buyers (47 %) have been saving for between 2 and 5 years.
2020 has been a challenging year for first-time buyers with the added impact of Covid-19 which has put a strain on their incomes and changed their savings behaviours.
Given the cost of buying a first home and the large deposits needed, it was no surprise that a large majority of first-time buyers (82%) in our 2020 survey said they had a savings plan in place for their deposit, an increase of 5% vs 2019. More revealing, perhaps, was just how long first-time buyers have been saving, with half of first-time buyers (47%) claiming to have been saving for between 2 and 5 years.
On average, in 2020, first-time buyers were saving €550 a month, up from €538 in 2019 and the highest since we began this survey 5 years ago. 12% of them said they were saving over €1,000 a month.
First-time buyers will still need financial help to buy
Despite saving more than ever before, most first-time buyers in 2020 still say they will need to get financial help from family or friends to buy a home (55%) compared to those who say they won’t need to get help (45%). Over half of first-time buyers (54%) said the help they would receive would be in the form of a financial gift from family or friends up 3% vs 2019. Whereas 44% of respondents said they would receive a loan from family or friends.
Read the full first-time report here
For tips on saving the deposit for your first home visit our first-time buyers help centre.
*Research was conducted by RED C between November 2nd and 3rd 2020 with 204 people aged 25-45 who are ‘planning to buy or build their first home in the next few years’
*Bank of Ireland Mortgage Bank trading as Bank of Ireland Mortgages is regulated by the Central Bank of Ireland
Bank of Ireland is regulated by the Central Bank of Ireland