Halifax Generation Rent Report 2014

The 2014 Halifax Generation Report from the National Centre for Social Research (NatCen) commissioned by Halifax shows increasingly 20-45 year olds are left renting,  unable to buy property. The report predicts homeownership will reduce.

The report says -

• One in five of 23-27 year olds have no desire to own a home

• 48% predict Britain will increasingly become a nation of renters

• 86% of tenants are prepared to move to a cheaper rental property in order to save for a deposit to buy

• 57% of wannabe first time buyers want to save but have no spare cash to put by.

Commenting, Craig McKinlay, Mortgages Director at Halifax, said:

“With attitudes softening towards the social implications of renting, and the number of people who say they will never own a property increasing, we may be heading towards the point where the aspiration to own a nice home will be replaced by the aspiration simply to live in one. It seems that people are now beginning to accept a lifetime of renting and this would not only change the way the property ladder looks in the future, it could even bring into question whether or not it will exist at all for some people.”

Alun Humphrey, NatCen Senior Research Director, says:
“The homeownership profile of the UK is currently in a transient phase. If an increased supply of housing keeps prices stable and any economic recovery is felt, in real terms, by those for whom homeownership is currently out of reach, then we may see levels of homeownership start to ‘catch-up’ with those of previous generations.

“However, after a long recession and housing crisis, an increasing proportion of younger people have only ever known a difficult economy and housing market. We are starting to see signs of differing attitudes towards homeownership among younger people; if these do not change as they get older then the homeownership profile of the UK may move towards renting irrespective of the economic climate.”