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A new report reveals that today's young people could be locked out of home ownership for decades unless they get help from the bank of mum and dad...
While the thought of living with our parents until our mid-thirties may fill many of us with horror, it’s becoming a stark reality for young people struggling to get on the housing ladder.
An independent report commissioned for Shelter has found that the length of time it takes today’s would-be first time buyers to get a foot on the property ladder could – wait for it – be as long as 30 years.
The increased length of time it takes for first-time buyers to save for a deposit is having a huge impact on the way young people, and their families, are living their lives.
Unsurprisingly, the deposit needed and length of time it takes to save varies widely around the country.
In 2012, the average first-time buyer in London needed to save an eye-watering £55,683 as a deposit – which is shockingly only £10k less than the national average house price 20 years ago.
The findings reveal that a single person living in London on an average salary would have to wait 29.5 years before they could afford a deposit on their own home. For a couple without children, this still takes over 10 years to achieve.
Those who live in the north-east fare better, with an average first-time-buyer deposit of £14,996 taking a single person 9.3 years to save, or a couple 4.5 years.
‘Despite 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,’ says Shelter Chief Executive Campbell Robb.
‘A 28-year-old couple could find that they can save for a home now and put off starting a family until they’re 35, or start a family now but accept they’ll be renting until their child is a teenager,’ he says.
‘Single people face the pressure to either find a partner or live with their parents well into their thirties if they want to save enough for a deposit. It seems the only ones with any hope are the few who can resort to the bank of mum and dad.’