While only 5% of people took a second job to pay for their property 12 years ago, the rate now has risen to 28% of first time buyers.
As average housing deposits reach £37,375 – 17% of overall property value – a third of non-homeowners believe they will never own their own home.
“The housing market is a tough place, particularly for first time buyers. And with property prices averaging over £200,000 it’s no wonder people are becoming increasingly resourceful when it comes to raising the deposit,” said Phil Cliff, Director of Santander Mortgages.
According to the latest figures launched by Santander, up to 28% of aspiring first-time buyers are either taking on a second job or doing more overtime in order to raise the cash needed to get on the property ladder.
27% of those surveyed said they will raise the deposit money by taking out an unsecured personal loan, or split the payments with friends.
Other ways in which people are raising deposit funds include via inheritance money (7%), reducing holidays (9%), and using credit cards (3%).
Half of Brits use their savings
Nevertheless, savings are still the most common way to pay for a deposit, with 54% of first-time buyers using their personal savings.
However, it now takes an average of 40 months for aspiring homeowners to raise enough money for a deposit, compared with 29 months for current homeowners. That is why some people are turning to unsecured loans to afford a part of the total cost.
As recently published by Churchill Home Insurance, financial turmoil is forcing numerous couples to delay marriage, purchasing a property and starting a family.
From the survey, 43% would choose to use their money to start a family first, a third would buy a house and 22% would get married.
Of course, any loan should not be taken lightly, and as with any form of borrowing it is important that you are able to meet repayments.