Thursday 11th January 2018
Home ownership is increasingly out of reach for young people without the bank of Mum and Dad, according to a new study.
Just 22% of 18-30 year-olds believe that they will ever be in a position to own property, the research by money saving website VoucherCodesPro suggests.
Of the 22% who do believe they will one day own their own home, just over half - 52% - have already started saving for a deposit, with the average amount of savings currently in place revealed as £6,700.
But the new research suggests that Britain is facing a growing housing crisis because property prices are now beyond the reach of thousands of prospective first-time buyers, with 78% of the 2,000 correspondents fearing that they will never be in a position to own their own home.
Instead of gaining a foothold on the housing ladder, they will be forced into rented accommodation – with many never being able to afford to buy.
Some 71% said they do not earn sufficient income to secure a mortgage and just over half - 52% - thought their credit history was not good enough.
The findings found that 37% of those surveyed ‘live at home with parents’, 26% ‘renting with my partner’, 19% ‘renting with friends/housemates’ and 18% “renting alone”.
Those who rent pay on average £625 per calendar month in rental payment.
George Charles, spokesperson for VoucherCodesPro, said: “Many Britons want to own their own home for financial security and to be able to support their families, knowing that if anything were to happen they’d be protected.
“It also removes the risk of landlords asking you to move out so they can sell, and so on. It’s sad to hear that so many British adults are convinced they’ll never own their own home, but with deposits being so high, additional costs sneaking up on you and housing prices where they’re at, we can see why so many feel this way.
“It is more financially beneficial in the long run to own your own home though; with renting you’re constantly paying someone else, whereas once you’ve paid your mortgage off you’ll have more disposable income to yourself.”
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