60% of tenants priced out of buying
The number of ‘trapped renters’, tenants who would like to buy but can’t afford to, has risen from 56% a year ago to 60%, of those 31% have owned property previously.
According to research from property website Rightmove as many as 96% of people living in rented accommodation aspire to own a home, despite on-going issues of affordability, access to credit and difficulties raising a deposit.
The research shows that just 15% of potential buyers are on course to purchase meaning many are likely to miss out on the proposed three year window of the Help to Buy scheme.
Miles Shipside, Rightmove director, said: “The traditional British love affair with property ownership seems as strong as ever and today’s tenants are so committed to realising their dream of homeownership that most say they’ll never concede defeat.
“The tricky years since the run on Northern Rock have not deterred them — in fact, they may feel encouraged by a more confident and optimistic mood in the market after years of famine and frustration.
"Today’s tenants are certainly hungry to be paying off their own mortgage rather than their landlord’s”.