According to research from More2Life, a UK household saving a median of £180 would take 10.9 years of consistent saving to equal the £23,549 deposit needed by first-time buyers in England.
In Scotland, it would take first-time buyers 6.6 years to save the £14,230 needed for a deposit and in Wales it would take 7.9 years assuming an average deposit of £17,038.
The later life lender said equity release could accelerate young homebuyers’ journey on to the property ladder with the average sum gifted by equity release reaching £61,596.
This is nearly triple the amount that first-time buyers can save in England and Wales, and more than quadruple the figure for Scotland.
The research said that first-time buyers in Scotland would benefit from the best loan to value (LTV) with an equity release gift at 83 per cent, followed by England at 84 per cent LTV and Wales at 85 per cent LTV.
Now may be time to consider early inheritance
Les Pick (pictured), director of manufacturing and adviser propositions at More2life, said: “Trying to save enough for a deposit is daunting at the best of times but with the cost of living eating into people’s disposable income and interest rates squeezing affordability further, first-time buyers are finding it harder than ever to take that first step onto the ladder.
“However, with the older generation often sitting on twenty or even thirty years of house price growth, now may be the time to consider whether an early inheritance could make a positive difference to someone’s home ownership ambitions.”
He added: “Shaving 11 years off the amount of time it takes someone to buy their first property and positioning them to get a better mortgage deal can make a real difference to their future finances.
“However, over-55s need to ensure that they fully consider all their options and speak to a specialist adviser who will help them make the right choice for their individual circumstances now and in the future.”
