More first-time buyers borrowing from Bank of Mum and Dad

A growing number of first-time buyers are relying on their parents to get on the housing ladder.

New figures from Charles Russell Speechlys found that in 2023, 57% of Gen Z adults buying their first house got parental support.

That’s up from 47% in 2022, and a measure of how buying a property is becoming a distant prospect for many young people.

Hopeful buyers expect parental help

For aspiring first-time buyers, parental help is seen as the only way to get on the housing ladder.

One in three say they plan on using money from their parents to buy a property.

And a similar number expect to put it towards a mortgage deposit.

Bank of Mum and Dad funding other life events

It’s not just buying a property that parents are helping with.

Mums and dads are also spending huge sums contributing to milestones like their kids’ weddings and buying a car.

In fact, more than two-thirds of Gen Z adults say they’ll get support from their parents for major life events.

Parents having a say on life choices

In many cases, the fact that parents are funding major events means they’re being given room to influence their kids’ decisions and life choices.

For example, 47% of Gen Z adults said they’d feel pressure to follow their parents’ guidance on buying a house or property.

Meanwhile, 42% said they’d feel obliged to follow their advice when planning a wedding,

This pressure even goes as far as starting a family, as 40% admitted they’d feel they have to follow their parents’ advice when having children.

Sally Ashford, private client partner at Charles Russell Speechlys, said: “Families across the generations are facing tough decisions as they try to balance the aspirations of today with the needs of tomorrow.

“These decisions can create tensions between families, as children feel an obligation to follow parental advice, given the support they have received.”

Don’t miss out

If you’re struggling to balance rising living costs with saving for future goals, then it might be time to see what help is available.

Try our free budget calculator to get to grips with what you’re spending and saving, and use our benefits calculator to find out what state support you could be eligible for.

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