25th
Nov 2015
PWC states the obvious when it proclaims that as owner occupiers are falling, then the PRS market is going to need to be prepared for the influx of private renters priced out of the house market. However it backs this up with some interesting figures.
Its research has found that only 26% of private renters, affectionately dubbed as “Generation Rent”, have true aspirations of ever owning their own home within the next year.
Only 25% of those aged 20 to 39 feel that they have a chance of owning a home within the next ten years; this figure has significantly fallen in 2 years from 38% in 2013.
59% in this age bracket forecast that they will still be renting accommodation in 2025; two years ago the figure was reported at 45%.
Just under three quarters of people aged 55 and above own their home and this is expected to remain the same in 2025.
Senior economist Richard Snook said: ‘The continual advance of house prices, which have far outstripped growth in earnings, is fundamentally changing the way people live. With the majority of 20 to 39 year olds living in the private rented sector by 2015, policy will need to adapt. This could include encouraging a better quart of private rented accommodation and more designed for families.’
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