A third of all UK private rented sector tenants believe they will never own a house
Over the last few years, the belief that people only rent a house because they cannot afford to buy their own has started to dwindle, as an increasing number of young people opt to live in a rented home as a life choice.
However, while this has become more prominent, a new study has found that there are still many people who are renting not because they want to, but because they cannot raise enough of a deposit to be able to get themselves a mortgage.
According to a survey carried out by CoCompare Mortgages, some 11 per cent of people who live in rented accommodation at the moment said they were doing so because of the fact they were not able to obtain a mortgage to get themselves a property.
And when it comes to trying to get onto the ladder in the future, as many as 31 per cent of tenants said they feel like they will never be able to raise the required funds to allow them to afford to do so.
"Our research reveals that half of all tenants are in rental accommodation because they can’t afford to buy their own home. It now looks like many have given up all hope of ever owning a home and, for some, the changes to buy to let regulations are likely to make renting more expensive. In turn, that makes saving for a mortgage even harder," said Matt Sanders from GoCompare Mortgages.
The study also looked at the demographics of people who are renting properties in the UK at present, and discovered that the most prominent group in the sector at the moment are single people, making up 39 per cent of tenancies. This was compared to 28 per cent made up by families, and couples, who account for 23 per cent.