Home Residential Property These figures show how young people are being priced out of the housing market

These figures show how young people are being priced out of the housing market

by Deleted Subscriber Content
22nd Jul 14 11:12 am

The number of young people buying houses in the UK fell to a record low of 3% of sales in June.

This compares with last August, where 12% of buyers were aged 18-30.

August 2013 12%
October 2013 8%
December 2013 5%
February 2014 7%
April 2014 6%
June 2014 3%

 

 

 

 

 

 

 

The National Association of Estate Agents, which carried out the research, said big deposits, stamp duty and, in particular, new borrowing rules were responsible for the drop in young people buying property.

In April, the Financial Conduct Authority introduced new rules meaning those applying for mortgages have to provide more evidence than previously and now face vigorous questioning to make sure they can afford monthly payments.

The rules can also block buyers for borrowing more than 4.5 times their annual salary, however, the average full-time worker in their 20s now needs to borrow 10 times their salary to afford the average property which costs more than £200,000.

Are you struggling to afford to buy a house? Tweet me your thoughts @robynvinter

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