Saving for a home deposit could now take up to 30 years
Monthly rents predicted to hit £800 within two years
Wednesday 19 June 2013
New figures from Shelter suggest that ‘Generation rent’ will be locked out of the property market for more than a decade.
Independent research commissioned by the housing charity looked at earnings, house prices, rents, and spending on essentials in local authorities across the country and found that couples who start a family in their twenties could be saving for a deposit for 12 years.
Couples without a child face an average of six and a half years of saving, and almost double that time in London. Indeed Londoners are particularly badly affected as single people face an average of 30 years of saving, while couples with children face 21 years.
Single people face the greatest barriers to home ownership and the report says they could need over 14 years to save enough for a deposit.
In nearly two thirds of areas in England, couples with a child could face over a decade of saving for a deposit for a home of their own. High outgoings and house prices combined with lower incomes mean couples with a child in Devon, Cornwall and Leicester would need longer to save for a deposit than the same couple living in some areas of London.
Shelter chief executive Campbell Robb said: "This is the first time research like this has been conducted at a local level to reveal the harsh realities that ‘generation rent’ is having to confront because of our shortage of affordable homes.
"Despite working hard and saving what they can each month, today’s young people face life-changing choices between starting a family or buying a home of their own. Imagine a 28 year old couple weighing up their options - they can save for a home now and put off starting a family until they’re 35, or they can start a family now but accept they’ll be renting until their child is a teenager."
Meanwhile, in a speech this morning, Operations Director Lucy Jones of LSL Property Services told the Council of Mortgage Lenders that by mid-2015, average rents in England and Wales will reach £800 per month, hitting £765 by around this time next year.
“Fundamentally, buying a home is still becoming less affordable, not more," she said. "By the middle of this decade at least one in five people in the UK will be living in privately rented accommodation.
“As before, there will be serious regional variations. Rents in London are already 109 per cent higher than in the North East. Over the next two years, London will see rents rise by 16 per cent. Meanwhile, the East Midlands will see rises of around 8 per cent.”
A first-floor flat with two bedrooms, a spacious reception room and communal grounds in a leafy part of London
A three-bedroom flat with a spacious rootop terrace and balcony, accessed from a private gated courtyard
A Grade II-listed pile with six bedrooms, stables and 39 acres of grounds in Standlake
A two-bedroom flat with boutique hotel-style interiors, close to the foodie haunt of West End Lane
A two-bedroom flat in a beautiful old vicarage, with many original features, close to the city centre
A three-bedroom 16th-century home with an aga kitchen, private gardens and heated outdoor pool, in Hadleigh
A three-bedrom home in sought-after Queen's Gate Mews, with Italian marble-finished bathrooms
Surrounded by glorious countryside in the village of Udimore, sits this impressive four-kiln oast and barn conversion
A five-bedroom house in the picturesque village of Kettlewell, north Yorkshire
An 18th-century former coaching inn with original staircase, open fireplaces and beams throughout
A Grade II-listed Georgian town house with three bedrooms and a south-facing courtyard, near Arundel Castle
Feel on top of the world at this über chic penthouse on the 37th floor of one of Europe’s tallest blocks.
A Grade II-listed Victorian villa with six bedrooms and two further cottages, all with spectacular sea views
A grade II-listed, Georgian cottage with mature 50ft garden, perfect for summer entertaining
A magnificent Georgian pile with turrets, seven bedrooms, a heated pool and four acres of gardens
Fairoak Farm has five bedroom suites, gym, outdoor swimming pool and golf course
Chic two-bedroom river-fronted flat with a private lift that delivers you directly to your home
A spectacular seven-bedroom Tudor pile, once owned by Henry VIII, with 18 acres of land
A seven-bedroom Georgian property previously used as a picturesque wedding venue
A split-level flat in a church conversion with two en suite bedrooms and 1,200sq ft of living space
A three-bedroom bungalow situated behind an impressive stone wall, £645,000
Windsor Castle overlooks this three-bedroom Victorian cottage located on one of Windsor's smartest roads
Chapel House is a former vicarage with nine bedrooms in the beautiful Upper Wye Valley
A five-bedroom B&B and separate owner's accomodation with potential for conversion
Enjoy summer by the Thames in this two double-bedroom converted warehouse in Rotherhithe village
A one-bedroom, luxury apartment with private gym and concierge service in Moorgate
A four-bedroom house in Hermitage Gardens with three reception rooms and landscaped gardens
A seven-bedroom Grade II-listed property with a separate self-contained apartment
A five-bedroom Victorian house with three reception rooms and galleried landing, £695,000
A six-bedroom farmhouse with five acres of land in a former cloth-making village
A secluded seven-bedroom detached house with large private garden, £490,000
A three-bedroom cottage overlooking Sarratt village green with open fires and solid oak floors
A three-bedroom maisonette flat in a Grade I-listed, Georgian townhouse in a sought-after location
A one-bedroom apartment located within a private gated development, north of Turnham Green
Look forward to a brighter future at two-bedroom Sunny Cottages, ideal for Londoners looking to downsize
A three-bedroom red-brick cottage with outbuildings and pretty gardens, £200,000
This three-bedroom flat within a former textile factory spans the corner of the fourth floor and has a balcony
A charming four-bedroom Oxfordshire cottage with oak floors and chunky-beamed ceilings, £465,000
A beautiful one-bed flat in a sought-after portered block, with access to Norland Square communal gardens
A one-bedroom flat within a Sixties school conversion with high-spec design and open-plan kitchen, close to Lambeth North Tube, £435,000
A 17th century four-bedroom house, with open fireplaces, cellar and pool, £600,000
A three-bedroom, coach house with luxury open-plan living space and contemporary breakfast bar
A newly refurbished one-bedroom flat in the heart of Mayfair, close to Grosvenor Square
A charming four-bedroom house overlooking Burleigh Square Park, close to Thorpe Bay
A three-bedroom farmhouse with a large inglenook fireplace and exposed beams
Life & Style blogs
Robin Williams Emmys tribute led by Billy Crystal criticised for including 'racist' joke about Muslim woman
The Rotherham child abuse scandal is a tale of apologists, misogyny and double standards
What do immigrants really think of Britain? Polish immigrant's Reddit post goes viral
Scottish independence TV debate: Pumped-up Alex Salmond bounces back in bruising second round against Alistair Darling
Do you realise just how foolish the UK looks?
With Douglas Carswell joining Ukip, my party has taken another giant step forward
- 2 Argentina may change its capital city from Buenos Aires, says president
- 3 Joan Rivers: 'Palestinians deserve to be dead'
- 4 The 3D-printed key that can unlock anything
- 5 Lady al-Qa’ida: On the trail of Dr Aafia Siddiqui, the world’s most wanted prisoner
- < Previous
- Next >
Negotiable: Harrington Starr: Graduate C#.NET Developer (TDD, ASP.NET, SQL) Su...
£30000 - £33000 per annum + Benefits + Bonus: Harrington Starr: Junior SQL DBA...
£35000 - £45000 per annum + Benefits + Bonus: Harrington Starr: C# Web Develop...
£60000 - £70000 per annum + Benefits + Bonus: Harrington Starr: Senior Data Sc...