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 u.c. 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