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Only 19 per cent of people buying their first home believe they can save for a deposit in a year, a recent survey has shown.
The study by Abbey found that up to 23 per cent of first-time buyers estimate that they will need to save for six years for a deposit. The average deposit needed has climbed to £22,800 and generally takes three years to save.
The situation has worsened because the mortgage market has tightened due to the credit crunch and fewer 100 per cent mortgages are available.
Nici Audhlam-Gardiner, director of Abbey Mortgages, said: "Saving for a deposit is no easy task, especially with the average needed now standing at more than £20,000."
Abbey report that there are currently no 125 per cent mortgages being offered in the present financial climate.
This has led to approximately a third of first-time buyers supplementing their income by working a second job and 28 per cent investing.
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