74% of keyworkers worry they’ll never get on housing ladder

By Bridging Loan Directory 5th July 2022

Research commissioned by lending specialist Vida Homeloans examining keyworkers attitudes to home ownership has found that 74% of keyworkers worry they won’t ever be able to own their own home given increasing house prices and the rising cost of living.

Furthermore 94% of keyworkers surveyed who are looking to get on the housing ladder don’t believe that they can get a mortgage at the moment, while 25% believe it will be at least 5 years before they consider applying for a mortgage.

Even then, just over a third believe it will not be possible for them to obtain a mortgage to buy a property in the area they want to live.

The cost of living crisis is having a clear impact on key workers, with 22% of those surveyed responding that they are struggling financially, and on average they are left with £130 of disposable income left each month.

Worryingly just under 50% of keyworkers say they have considered changing careers so they can earn more money to save for a house/afford their mortgage, a number which rises to 59% among those aged 18 to 34.

However 50% of those surveyed aren’t fully aware of all the potential options that are available to them to help with buying a home, highlighting the importance of speaking to a financial adviser.

The research was compiled by research agency Opinium and 2000 keyworkers from across a range of industries were surveyed.

Since its’ inception Vida has strived to ensure it has a strong product range and service offering which makes a real difference to customers and brokers.

This reflects Vida’s aspiration to consistently deliver a first-class experience and provide a great range of product options for broker’s clients and help them get their lives moving.

Vida has developed a mortgage offering designed specifically for key workers.

They can apply for a mortgage up to five and a half times their annual income at 90% loan to value (LTV).

In addition to this, there will be a discount on the product’s initial rate and no product fees ultimately making buying a new house that little bit more achievable for those working in critical public sector roles.

Commenting on the research, Anth Mooney, CEO at Vida said:

“Keyworkers were the backbone of this country through the last two and a half years, and it is really concerning to find that 74% of them worry that they will never be able to own their own home.

It is also particularly worrying that nearly 50% of these people who perform vital roles are actively considering changing careers in order to buy a home.

If the pandemic has taught us anything it is that we need these people, and the vital services, they perform.

It is clear that quite a few of these incredible people feel cut out of traditional mainstream lending and this is why Vida decided to launch a bespoke offering for keyworkers.

I would really urge anybody who is looking to get on the housing ladder to speak to a mortgage broker who will be able to help them”.