The latest data shows that FTBs now need to save an average of £51,923 to put towards the deposit on their home with 62% of prospective FTBs suggesting that this is more than they initially expected.

On average prospective FTBs plan to allocate up to 30% of their take-home pay for their monthly mortgage payment.

However, with average monthly repayments increasing, many people are having to shift expectations of what they can afford. Over half (55%) of all prospective FTBs expect they will need to buy a cheaper home as a result.

The Bank of Mum and Dad have previously been relied on to provide financial support but a greater number of buyers will use their own savings to get on the ladder at 67% now compared to 62% last year.

However, 43% of FTBs are keeping at least some of their deposit savings in their current accounts, rather than making the most of higher-interest savings accounts that are available.

By moving the average deposit of £51,923 into a savings account which pays on average 4.80%, over the course of 12 months, the interest earned would be enough to pay for FTBs’ solicitor fees, broker fees and conveyancing/valuation fees combined.

A fifth of homebuying hopefuls (20%) perceive inflation and high living costs as the biggest barriers to realising their dream, while a similar proportion (19%) found it hard to find an affordable property.

The number of prospective FTBs who found the home buying process stressful increased to 71% compared to 66% the year before.

However, despite these challenges, 79% agree it’ll be worth the stress once they have gotten their foot on the property ladder, as 79% believe that doing so will be a good investment for their future, while 77% see owning a home as a significant life goal.

Aldermore director mortgages Jon Cooper says: “The economic environment has made home ownership a lot more difficult. Larger deposit requirements, higher interest rates and affordability challenges are squeezing the market. Prospective buyers have responded by purchasing cheaper homes to offset higher mortgage repayments and, reassuringly, many still view home ownership as a major life goal as well as a good investment.

“Looking ahead, we must strive to better support first time buyers, so that more of them can gain a foothold on the property ladder. Fundamentally, while it’s positive that there were steps taken in the Autumn Budget to get Britain building, more new and affordable homes need to be built to help ease increasing house prices for the next generation of buyers.”