Housing deposits 'have risen tenfold'

Posted: 19 Sep 2011 12:27:30 GMT

The last 20 years have seen a marked increase in housing deposits.

Housing deposits in the UK have risen considerably over the last two decades, new research has revealed.

Carried out by First Direct, the study showed such payments have increased tenfold since 1990, with a combination of house price escalation and reductions in mortgage lending to blame for the trend.

According to the investigation, the average housing deposit has increased from £6,793 to £65,924 over the last 20 years and Bruno Genovese, senior savings product manager at First Direct - a division of HSBC Bank - said such movement is why first-time buyers are getting older.

The industry figure noted: "The average deposit needed in the first place has actually risen more than twice as fast as house prices and almost four times as fast as income."

He added people need to pay plenty of attention to the amount of money they are able to save towards a deposit, especially in the current climate.
 

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