Nearly half of all first-time house buyers under the age of 30 now receive financial help from relatives to get a mortgage, a lenders' body has said.
The Council of Mortgage Lenders (CML) said this proportion was higher than the 38% of first-timers who received such financial help in 2006.
The CML said this was a knock-on effect of lenders demanding higher deposits.
As a result, despite house prices falling, first-time buyers have found it harder to buy a home, not easier.
"In the current market environment, 100% mortgages are not so widely available," the CML said.
"Many lenders typically require a higher deposit from borrowers than before.
"So even though the total needed to buy a house is declining, first-time buyers are facing a new affordability challenge in the shape of a higher deposit required by lenders."
Shock
With the credit crunch and the slump in house prices in full swing since last year, much larger deposits are now required, even though prices are now about 12-15% cheaper than they were a year ago.
"Opportunities for young would-be buyers to enter the market could be severely limited, and we may see their numbers decrease significantly "
The average first-time buyer had to put down a deposit of £19,000 during the second quarter of this year, according to the CML's figures, up from £14,500 the year before.
The lenders' organisation said this would be "quite a shock for the would-be buyer who has been saving for a deposit since 2007 and now discovers he needs to find an extra £4,000."
The CML found previously that in 2006, 80,000 buyers - 20% of all first timers - were putting down deposits that they could not obviously afford from their own likely savings.
The lenders estimated that the extra money came most probably from their parents or grandparents.
These "assisted" first timers in turn made up 38% of all buyers under the age of 30.
The CML's latest calculations now suggest that this proportion has reached nearly 50%.
Warning
London, the South East of England, and Northern Ireland are the regions where first-timers have to rely more than ever on their parents or other relatives for help.
"In London, the typical assisted first-time buyer had a £67,000 deposit and an average income of £42,000," said the CML.
"In very stark contrast, unassisted buyers in the capital had a typical deposit less than a third of this size - just £19,000 - but typically need a much higher income of £57,000."
The lenders warned that parents might not be able to continue helping their children get on the property ladder.
The impending recession may hit family finances and falling house prices may inhibit parents taking out new mortgages against the recently inflated value of their own homes to pass on the cash to their children.
"If this flow of help for young buyers dries up, then opportunities for young would-be buyers to enter the market could be severely limited, and we may see their numbers decrease significantly beyond what are already record low points," the CML said.
^ Back to top | BBC Sport Home | BBC Homepage | Contact us | Help | ©
~RS~q~RS~~RS~z~RS~36~RS~)