First time home buyers in the UK are still finding that first step of the property ladder to be elusive to say the least.  They would much rather be in the position of being a long time owner preparing to remortgage.  Large deposits are just the beginning roadblocks to becoming an owner.  Let’s keep in mind other constraints to owning a house that young people are constantly striving to overcome.  Rental fees are increasing, a weak job market continues to plague the economy, and the expense of school keeps going north.

John Stewart, director of economic affairs at the Home Builders Federation, commented on the many challenges faced by young home buyers, saying: "It would be hard enough for young people normally to save up a deposit, but you add in all those things, and the high prices of housing...this is massive, massive social and economic issue.”

There are groups who believe they can do something to positively impact the problem.  Lenders and home builders are forming an alliance to discuss what can be done about high deposits.

Although the housing industry recognizes there is no fast solution to a problem like high deposits, the HBF did suggest a third party like an insurer could underwrite loans to first timers.  That would at least take the burden off home builders.

Simon Brown of Northland Capital commented on a possible way to move forward with first time buyers, saying: "If the industry can come together to offer a form of mortgage indemnity, it would be a powerful tool in securing new build sales in the current market."