More than a quarter of UK adults say they can only afford to buy or move home with government help, according to a survey conducted by the Mortgage Advice Bureau.
Of the 1,161 respondents, 28 per cent stated they would need government assistance to purchase their own home or move from an existing property, while 26 per cent say they would require financial help from their family.
The results showed 40 per cent of UK adults were looking to either purchase their first home, move house or remortgage before the scheduled end of the Help to Buy scheme in 2016.
Saving for a deposit is still one of the biggest hurdles facing borrowers, as 26 per cent of people looking for a mortgage in the next 12 months could only afford a five per cent deposit. Of these, 50 per cent are first-time buyers while 35 per cent are seeking to move from their existing home. The remaining 15 per cent want to find a remortgage deal.
Mortgage Advice Bureau head of lending Brian Murphy says: “Help to Buy has supported efforts to make mortgages more accessible to first-time buyers and existing homeowners, with more lenders and products set to drive up competition in the new year.
“Buyers are voting with their feet and we are seeing great enthusiasm for low deposit mortgages. The type of 95 per cent mortgage encouraged by Help to Buy are familiar products and part of what’s needed in a healthy market to cater for the full range of buyer needs.”