A recent survey of 32,000 people aged 20-45 has concluded that renting a home rather than buying one has become an 'accepted reality'. Many people are opting to rent a home in their desired location rather than spend years saving for that elusive deposit according to the Halifax.
The key highlights of the survey
- One in five 23-27 year olds have no desire to own a home
- 48% believe that the UK will become a nation of renters within the next generation
- 46% consider that the UK is starting to become more like other countries in Europe, where renting is 'the norm'
- 86% of potential homeowners refuse to sacrifice the quality of accommodation they currently live in to reduce the rent they pay so as to save for a deposit
The property market has continued to change over the past five years with many clients now opting to invest as a way of increasing capital until a time where they are able to purchase property in their desired locations. With the average UK tenancy agreement now standing at 20 months there has certainly been a decisive shift towards the UK rental market where tenant demand outstrips supply by 9:1.
The Purplebricks Investor Network has seen a substantial rise of 27% in the amount of first time landlords entering the market. As buy to let lenders continue to offer more lucrative product deals we will certainly see more and more would be landlords enter the market to subsidise their current income.
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