The property bank of mum and dad

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A recent article in the Telegraph highlighted the problems younger people have getting a foot on the property ladder. With the high price of houses in London and the south east, buying a flat in a property block is an economical and wise choice. And for first-time buyers, the communal aspects of living in a block are tempting.

Research by insurance giant Legal & General has confirmed that one solution is that parents are helping their children to buy or rent their first homes.  The 'bank of mum and dad' is expected to fork out a whopping £6.5bn this year in deposits and mortgage repayments on behalf of their children. Much of this amount will be for leasehold properties in blocks around the UK.

Parents offering financial support has been unofficially listed as the ninth biggest lender, and the Social Mobility Commission estimate that 34% of first-time buyers use a gift from family or friends to help them get started.

With rental properties often being much higher than mortgage repayments due to low interest rates, buying a block property is particularly attractive. This is especially true for younger people where developments include affordable housing, and the advantages of being a leaseholder in a well-maintained block are increasing.

If you're the leaseholder of an apartment in a block property - or the landlord of one, you'll love the security of knowing your home and property is well maintained and secure. For confidence that your investment (or your mum and dad's!) will be permanently maintained to the highest and safest standards, call Roisin on 0845 456 8775.

Posted on Friday, September 08, 2017.