Two-fifths of homeowners in Scotland are put off the idea of moving up the property ladder that they are tempted to stay and renovate their homes instead.
According to the latest figures from the Bank of Scotland, 43 per cent want to avoid selling their property and buying another and, therefore, plan to make improvements on their existing house.
This is due to the difficulty they face when climbing up the property ladder, with the financial services provider revealing they have to find an additional £114,659 to purchase their second home.
While these ‘second steppers’ are likely to have gained £48,738 in the equity of the house they already own, this leaves a financial gap of £65,922, rendering many unable to make the next step in the property market.
Graham Blair, mortgages director at the Bank of Scotland, said: “Second steppers are telling us that challenges remain as they try to bridge the gap and find that dream home.”
Many of these homeowners’ properties are likely to be flats, lacking driveways or gardens, and therefore, they want somewhere that will be more family-friendly.
Indeed, off-road parking topped the ‘must have’ features list for second-time buyers at 60 per cent, followed by a garden (57 per cent) and a kitchen/diner (54 per cent). Therefore, those who want to renovate instead could consider kitchen repairs as a priority.
Last year, Lloyds Bank reported that three in five of homeowners in the UK who are not planning to move house are considering making home improvements instead.