Homeownership Just Got Easier...
Date Published 22 January 2026
Homeownership Just Got Easier – What This Means for Plymouth Buyers
The property market is shifting in favour of first-time buyers. According to Barclays' latest Property Insights report, traditional barriers to homeownership are starting to ease – and the changes could be particularly good news for aspiring homeowners in Plymouth and the surrounding areas.
Smaller Deposits, Bigger Opportunities
One of the biggest hurdles for first-time buyers has always been saving for a deposit. But the landscape is changing. Recent data shows that deposits below £20,000 now account for more than a fifth (22%) of first-time buyer purchases, up from just 13% a year earlier. The average first-time buyer deposit has fallen by 14% year-on-year.
What does this mean for you? Lenders are increasingly offering higher loan-to-value (LTV) mortgages, with over two-fifths (44%) of first-time buyers opting for 85-90% LTV mortgages. This makes getting on the property ladder more achievable, even if you haven't managed to save the traditional 20% deposit.
Gen Z is Ready to Buy
Young buyers are showing remarkable confidence. More than a third of Gen Z (34%) are hoping to purchase a new or first home in 2026 – more than double the national average. While affordability pressures persist, many Gen Z buyers already have savings in place. On average, Gen Z savers report having accrued £19,442, with expectations to add a further £8,998 throughout 2026.
The "Bank of Mum and Dad" remains influential, but interestingly, fewer Gen Z buyers now view family financial support as essential – down from 63% at the start of 2025 to 43% today.
Stamp Duty Changes Favour Lower-Priced Homes
The stamp duty changes in April 2025 concentrated demand at the lower end of the housing market. Homes priced under £300,000 made up 72% of first-time buyer purchases in May 2025, up from 60% in April. This preference has continued, with homes under £300,000 accounting for around two-thirds (65%) of first-time buyer purchases in December 2025.
For Plymouth, where family homes in areas like PL6 consistently sell well and many properties fall below this threshold, this is excellent news. More buyers are actively looking in your area.
Existing Homeowners Are Planning Ahead
It's not just first-time buyers making moves. Over a third (34%) of homeowners are planning housing-related changes in 2026. Many are saving for home improvements (28%), building emergency funds (19%), and investing in energy efficiency upgrades (9%).
As many homeowners reach the end of five-year fixed-rate deals secured in 2021, they're taking a more considered approach to their finances. Nearly two-thirds (64%) of those remortgaging expect higher monthly repayments, but this is driving renewed focus on budgeting and longer-term planning.
What This Means for Your Property Journey
Whether you're a first-time buyer ready to take the leap or an existing homeowner planning your next move, the market conditions in 2026 are more favourable than they've been in recent years. Smaller deposits are now acceptable, lenders are offering innovative products, and confidence in the housing market is beginning to stabilise.
At Novahomes, we're here to guide you through every step of your property journey. With our director-led team, competitive fee structure, and comprehensive service – including expert photography, virtual tours, and no hidden extras – we're committed to helping you achieve your property goals.
Ready to make your move in Plymouth? Get in touch with Novahomes today for a free property valuation or to discuss your next steps.
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Novahomes is a director-led estate agency serving Plymouth and the surrounding areas. We specialise in sales and lettings with a "No Let – No Fee" policy and competitive fees. Why pay more?
