Bluestone's research revealed that, for this group, the top financial concerns for the year ahead include the rising cost of everyday items - 67%, financial instability - 35%, rising interest rates - 33%, being unable to work - 30%, and the rising cost of rent - 29%.
34% of people who have traditionally struggled to secure a mortgage for a lender predict that their financial situation will remain the same this year, while 18% believe they will be worse off. 40% predict they will be better off financially this year. Those without a credit score are more likely to be in a worse financial situation this year (30%), compared to those who are self-employed (17%).
Steve Seal, Chief Executive, Bluestone Mortgages, comments: “The rising cost of everyday items, soaring energy bills and the upcoming increase to National Insurance contributions will all have an impact on affordability and put further pressure on the cost of living. As a result, it’s likely many consumers will put off the homeownership process for fear of rejection, or they may have already been turned away due to their more ‘complex’ needs.
“While challenges still prevail, it’s important for those disenfranchised from high street lenders to remember that there are options available to support their homeownership dreams, and it’s the duty of these lenders to point them in the right direction. Whether they have complex credit, a blip in their credit history or are self-employed, there are a number of solutions to help these would-be borrowers take their first, or even next move onto the property ladder.”
