Patterns of supported home purchase in the United Kingdom

Housing markets are an important arena for the intergenerational transmission of (dis)advantage in advanced economies. In recent years, academics and policymakers have argued that homeownership is becoming a ‘family affair’ as home buyers become increasingly reliant on receiving financial and in-kind support from their relatives. This article develops our understanding of supported home purchases in Britain by examining the distribution and residential implications of receiving assistance to buy a home. The results show that support for home purchase is more widespread, varied and multichannelled than is often assumed. Receipt of support is also socially patterned as younger and more economically marginal buyers, as well as those in the tight London housing market, are disproportionately likely to purchase homes with assistance. Finally, although support generally has weak associations with the characteristics of housing purchases, drawing on an inheritance boosts the probability that those entering homeownership buy homes in more advantaged neighbourhoods. Receiving support also reduces the likelihood of heavier mortgage borrowing among moving owner-occupiers.