250,000 Brits giving up on dream of buying a house
Around 250,000 people in the UK who don't currently own property appear to have given up on the likelihood that they will buy a house. New research from the HomeOwners Alliance and BLP Insurance has revealed that hundreds of thousands have given up on the plan of buying somewhere to live in the last year, with the cost of houses being a primary concern.
This fall in the number of people hoping to own their own house in the future is the first in the last five years, according to the annual survey. When the survey began in 2013, 65 per cent of non-home owners hoped to purchase property in the future. This peaked in 2016 at 73 per cent after increasing every year, however, this has fallen to 71 per cent.
According to the research, this accounts for about 253,166 people in the UK giving up on the idea of owning a house within the last 12 months. This is despite changes to mortgage relief tax and schemes to help first-time buyers.
Cited as the main issues standing in the way of people making plans to buy are house prices (86 per cent), saving for a deposit (85 per cent) and the availability of properties on the market (80 per cent), with each of these becoming bigger problems as time goes on.
All areas of the country are experiencing similar levels of concern, with 81 per cent of people in London and 82 per cent in the South West worrying about the supply. Those in Yorkshire and Humber and in Northern Ireland are most worried about mortgage repayments, with 85 per cent of people in both areas citing this as their biggest concern.
A seven per cent increase was seen in the number of those worried about being able to get on the property ladder, rising to 89 per cent from 82 per cent last year. With property prices rising by 4.5 per cent, well above the average 2.6 per cent increase in earnings, this looks to be a severe issue.
However, this could be positive news for landlords, as more people are likely to be looking for long-term lets. Ensuring you take steps to retain tenants could help provide security and reduce the likelihood of properties remaining empty for extended periods.