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THE BANK OF MUM & DAD!

Recent research has shown that the ‘Bank of Mum and Dad’ will contribute to 25% of all UK mortgage purchases this year, making them a ‘top ten’ lender.  Family and friends are expected to provide deposits of £5bn, averaging £17,500 or 7% of the purchase price for 300,000 mortgages towards homes worth £77bn this year.  A total of 256,400 mortgage borrowers will get parental support, 27,500 will get help from friends, and grandparents will help fund 22,500.  The research by Legal and General estimates that 51% of buyers in London will get assistance with their mortgage while is the south east the 50% mark is expected to be reached by 2025.  Jonathan Bye, director of Eric Lloyd & Co commented that “over the last two or three years there has been a noticeable and encouraging rise in the number of first time buyers getting onto the property ladder in the South Devon area.  We don’t have specific data but anecdotally a significant number of these first time buyers have been assisted by parents or grandparents with help towards their deposits.  These purchases are also indicative of ongoing confidence in the economy of Torbay and South Devon.”  Eric Lloyd & Co currently has a wide selection of properties on offer ideal for first time buyers with prices starting from £129,950.  With the lighter summer evenings now is an ideal time to start your search.  Call the sales teams on Brixham (01803) 852773 or Churston (01803) 844466.

 

 

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