33% of people plan to buy in next 5 years

A third of people (33%) plan to buy a property in the next 5 years according to Post Office’s annual House Buying Habits mortgage report.

Of those who plan to buy almost half (49%) are second-time buyers or movers while 39% are first-time buyers.

The report also reveals that over half of first-time buyers and movers (56%) are hoping to move onto or up the property ladder in the next 3 years.

John Willcock, head of mortgages at Post Office, said: “It’s really encouraging to see such optimism among potential homebuyers.

“The property market could really get going in the next few years if this buoyant attitude continues. “The changing lending landscape, housing market movement and the availability of more affordable mortgages in early 2013 has perhaps cajoled many into feeling more confident about the future of the housing market, with more people hoping to move or buy a property for the first time over the next few years.”

The report reveals a clear North-South divide in those looking to get onto or move up the property ladder. Almost half (48%) of Londoners and 37% of those in the South East are considering buying a property over the next five years compared to just 26% of those in the North East and 30% of people in the North West.

The research also shows that 27% of second-time buyers still have to rely on some sort of financial help from parents, family or their partner to buy their next home.

Willcock said: “You may well think those looking to get their second or third step on the housing ladder are in a better financial position and no longer need to rely on the bank of mum and dad.

“But the research goes to show the financial squeeze affects all homebuyers not just those looking to get on the ladder for the first time.”

Peter Lawrence of Lawrence Rand said: “Whilst planning and doing are two different things this report clearly shows the underlying optimism and pent up demand in the housing market.

Clearly the ability to buy is a major factor but where there is a will, there is usually a way and we see this research as very positive for the market looking forward.”