For Luke Anstee, buying a first home would mean more than getting on the property ladder. The 23-year-old hopes it would give him the chance to put down roots after spending much of his childhood moving around because of his father's Army career. Further details of the government's proposed Your First Home scheme are expected in Wednesday's Budget, with ministers saying it could help first-time buyers purchase a property with a deposit as low as 2.5%.
Anstee said he had rarely lived in one place for long. "I don't think I've ever stayed in one place for more than three years at a time, so it would be nice to actually have somewhere where I can stay," he said. Having spent 10 years in Germany and moving around the UK, he said he was craving stability and the opportunity to buy a place of his own.
Despite saving money every month for the past three years, he believes home ownership is still some way off. "It is not where I would like it to be. When I can, I try and put more in, but one of the things I am mindful of is that I am in my final year of university," he said.
"I am over the threshold of when I have to start paying [my student loan] back." Anstee earns more than £25,000 a year working in IT and lives in a house share. However, he said the cost of living makes it harder to save. "If you think about my weekly shop, back in the day that would probably be £20-30.
"I used to pay high 40s, low 50s [to fill up on petrol]. Now I pay nearly £70 a tank. "You can cut back on subscriptions and stuff but I don't pay for any." What is the Budget and what could be in it?
Earnings limit of up to £140K for first-time buyers loan scheme Burnham announces scheme to help first-time buyers onto housing ladder The government announced the Your First Home scheme in September and is expected to confirm further details when Chancellor John Healey delivers his Budget on Wednesday. Under the proposals, eligible first-time buyers in England would be able to access a government-backed equity loan worth 20% of a new-build home's value. The loans would be subject to an initial interest-free period and are intended to help people buy a home with deposits as low as 2.5%.
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