Saving towards a new home is 3 times more important than saving for a pension for under-35s, according to research by Nottingham Mortgage Services.
25% of the over 1000 adults surveyed said that their top priority is raising funds towards buying their first property while just 8% said investing into a pension was their top priority.
34% said they’re either saving towards their first home or to move compared to 18% of the population as a whole.
- 24% of the wider population said retirement saving was their main priority
- 23% of the wider population said having cash to cover bills was their priority
- 22% said they cut pension savings in the past 2 years to boost their savings
- 11% reduced contributions to make ends meet.
Ian Gibbons, senior mortgage broking manager at Nottingham Mortgage Services, said:
“Savings can clearly only go so far but there is a potential risk in cutting back on pension saving and missing out in later life. Potential homebuyers should explore their options for borrowing as there are mortgages available for those with small deposits and a broker who can search the market will help.”