26th
Jun 2019
Latest research from a letting compliance company shows that Britain will become a private renters' nation.
pixabay.com
The company's research has found out when Britain will have numbers of rented homes occupancy outstripping homes owned.
The UK's population has historically been made up of working people fighting to get onto the property ladder, but in the past few years private renters have increased steadily whilst numbers of homeowners have dropped.
The latest statistics found that since 2010, home ownership residency has fallen by 5% in line with a 5% increase in rented homes occupancy.
Within the EU the UK's percentage of home ownership is 24th out of the 28 nations, with 65%.
The UK is ranked fifth highest with percentage of tenant occupied residences in the EU behind Germany, Austria, Denmark and France.
However the UK still has a 65% of home owners as people still continue to aspire to buying their own home, but if the trend continues for renting homes then the UK will undoubtedly become a 'Rent Nation', with more and more people being forced into having to rent 'homes'.
The company's analysis predicts with the level homeownership continuing to fall that by 2039 private rented homes occupancy will outstrip homeowner occupancy by 50.7% to 49.3%.
The firm further predicts that by 2045 rental homes residency will rise to 55% with home owner occupancy dropping to 45%.
Founder and CEO of the company, Jonathan Senior, said: ‘We are currently seeing a shifting mentality in the way we choose to live our lives and for Generation Rent, in particular, there is no longer that urgency to make it out of the rental sector and secure their own ‘piece’ of bricks and mortar.
‘This was initially driven by consistently buoyant house price growth coupled with stagnant wage growth providing no other option but to rent, however, social rental numbers are falling, Build-to-Rent is growing in prominence, and there has been a number of tenant-friendly changes to the sector.’
He concluded: ‘All of these changes are making the rental sector a more attractive place to be and as a result, we are seeing more of us opt for it and stay there for much longer than we may have traditionally.’
News Archive »