Young adults not saving for mortgages

First-time buyers struggling to save for deposits required for mortgages, according to a recent report.

A study, conducted by Sainsbury's Finance, has found that, despite the average age at which a person buys their first home being 29, 16 per cent of people aged between 25 and 34 are saving less than they were a year ago.

The research also revealed that only nine per cent were saving more.

Neil Cameron, savings manager at Sainsbury's Finance, said that many needed to review their savings accounts to ensure they had a good deal.

"Those people saving for a deposit on a property should review any savings account they are using for this and make sure that they have one that pays a consistently attractive rate that does not penalise you for withdrawing your money should you need to," he added.

According to a recent poll by the Royal Institution of Chartered Surveyors, confidence in the UK housing market is at a historic low, with 78.5 per cent surveyors reporting a fall in house prices rather than a rise last month.

Mortgages News posted on 21/04/2008 15:54:45