UK homeownership falls to lowest rate since 1985

UK homeownership falls to lowest rate since 1985

Britain’s house prices experienced a slight drop month-on-month for the first time since August 2015 as demand for homeownership continues its fall.

According to Nationwide, house prices across the UK currently average at £207,308. When only looking at London, prices increase dramatically, to an average of £478,782.

The Private Rented Sector has now doubled

Other figures, provided by the Government, show that the rate of homeownership has fallen to its lowest level in over 30 years. And over the last 10 years, since 2007, private rents have increased by 75% to about 4.5 million households currently.

Robert Gardner, Nationwide’s chief economist, said:

“The counterpart to this trend has been robust growth in the private rental sector, with 20 per cent of households in England now privately rented, a record high, up from 12 per cent 10 years ago.”

The long-term effects of this growing rental market may be dampened slightly in the short-term by a squeeze on the market due to the Government trying to depress any further house price growth.

And whilst London has experienced a drop in numbers of build and sales since the beginning of 2017, property up North continues its growth.

Build-to-rent could deliver 240,000 new homes by 2030

Real estate firm JLL even reported a drop in numbers of properties breaking ground of 75% over the last twelve months in the capital. The report named the changes made to stamp duty, which hit the upper end of the market particularly hard, as one of the main factors. It even stated that some developers have decided to scrap their projects entirely, with indications for some of them to move further up North for their projects.

Carolyn Uphill, chairman of the NLA, said:

“It looks like central London is simply becoming too expensive for most people, regardless of whether you want to buy, invest or rent.”

Self-certified Sophisticated Investor

Please read

I declare that I am a self-certified sophisticated investor for the purposes of the restriction on promotion of non-mainstream pooled investments. I understand that this means:

I am a self-certified sophisticated investor because at least one of the following applies:

I accept that the investments to which the promotions will relate may expose me to a significant risk of losing all of the money or other property invested. I am aware that it is open to me seek advice from someone who specialises in advising on non-mainstream pooled investments.

High Net Worth Investor

Please read

I make this statement so that I can receive promotional communications which are exempt from the restriction on promotion of non-mainstream pooled investments. The exemption relates to certified high net worth investors and I declare that I qualify as such because at least one of the following applies to me:

STAY AHEAD OF THE MARKET

Sign up for first access to new developments and exclusive property investment opportunities.

We send limited and targeted emails on new launches and exclusive deals which best fit your areas. We are trusted by over 30,000 active buyers as their source for new stock.

  • New property developments
  • Professional market reports
  • Property deal alerts
  • Development updates
Manchester property investment

FIRST FOR NEWS AND KNOWLEDGE.

Receive trending news straight to your inbox and stay up to date on all of the property market trends and advice.

Established since 2005 we are a leading voice of authority and commentary on the UK property market. Our news is trusted by Apple News & Google News.

  • UK housing market
  • Mortgage & money
  • Buy-to-let landlords
  • Guides & advice

Talk to us

Speak to our UK property experts today:

 

+44 (0) 333 123 0320

Open from 9am-6pm GMT

 

+852 6699 9008

Open from 9am-6pm HKT