21st July 2014
More than a quarter, at 28%, of those aged between 18 and 34 would spend a £20,000 gift from their parents on a deposit for a house according to research by HSBC.
Notably three out of five young Brits, at 60%, with aspirations of home ownership admit that they cannot afford a deposit for a first home without financial help from their family
With the cost of a wedding now averaging £20,000, the findings reveal that only 1% of young adults would choose to shell out the entire sum on their nuptials.
With such gifts the reserve of a lucky few, most young Brits are pondering how to split their savings between a deposit for a new home and a dream wedding. But nearly half, at 47%, of Brits would look to cut the cost of their wedding in favour of putting it towards a house deposit, while more than a quarter, at 26%, would ask guests for cash instead of a traditional wedding gift to put towards a house.
Peter Dockar, head of mortgages at HSBC said: “With the average deposit for first time buyers now £23,500, it appears that couples are choosing to be pragmatic when it comes to tackling the difficult decision of whether to shell out on a big wedding or buy a home. Clearly, it appears that being savvy with the pennies and giving more thought to home buying is becoming a priority.”
The research also reveals that those looking to cut the cost of their big day in order to boost their deposit savings will do so to the tune of £5,443 on average. The most popular ways of cutting costs are to reduce guest numbers, choose a cheaper reception venue and reduce the cost of the honeymoon.