There has been a fall in the proportion of under 35s owning their own home, according to the English Housing Survey
The English housing survey is a continuous national survey commissioned by the department for communities and local government and collects information about people’s housing circumstances and the condition and energy efficiency of housing in England.
According to the latest survey the number of renters aged 25 to 34 increased from 31 per cent between 2008 to 2009 to 45 per cent last year.
The number of those with a mortgage during the same period fell from 21 per cent to 18 per cent in 2012-13, with more renting privately, and so paying more of their income on housing.
It also noted that renting was more expensive across all age groups, on average those who owned their home spent 20 per cent of their income on their mortgage compared to 40 per cent among those renting,
Stuart Cunningham, director of operations at Commercial Trust in Norwich said that since the underwriting of new affordability rules under the Mortgage Market Review, income and affordability checks have become a greater barrier to home-ownership for young adults. T
He said: “The typical age for a first-time buyer is now 30, a figure which is steadily rising. The priorities of 20-somethings, who a generation or two ago were likely to have been focused on home-ownership and a ‘career for life’, have shifted towards more temporary arrangements, both in work and housing.
“Because of the growing age of renters, the UK rental sector must naturally move towards a model more akin to that seen in countries such as Germany, the Netherlands and the US – one of longer and more secure tenures. If ‘tenancies for life’ were to become standard, it would be unlikely to affect resaleability for landlords whose properties have a tenant ‘in situ’; however, this situation is unlikely to become the norm for several years.”
