Two in five (40%) first-time buyers (FTBs) have found it difficult to secure a favourable mortgage rate, new research by Moneybox has indicated.

Understanding the best mortgage options available for their circumstances was identified as a key challenge experienced by recently successful FTBs.

Moneybox recently undertook research among 500 recently successful FTBs across the UK to highlight the challenges encountered on their journey to homeownership.

Those who struggled to understand their mortgage options were also more likely to have regrets about their homebuying journey, after 43% of respondents said they wished that they had spent more time researching the mortgage options available to them, while 39% regretted not using a suitable mortgage broker.

Reflecting on how the next generation of homeowners in the UK could be better supported, 37% of FTBs in the study also said that there needs to be greater financial support made available, while 36% called for more guidance to help people find suitable mortgage options relative to their personal circumstances.

Head of mortgages at Moneybox, Felicity Holloway, commented: “Buying a home is the biggest financial commitment most of us will make in life, so it's understandable that so many FTBs are calling out for more guidance and support throughout their homebuying journey.

“Yet, our research shows that a surprising number of people are not using the services of a mortgage broker, and so are missing out on freely available expertise and guidance that could prove to be invaluable in helping them achieve the best outcomes possible.

“As an industry, we must do more to break down the barriers that are preventing people from finding the information they need and to support them in making financial decisions throughout their homebuying journey with greater confidence.”

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