According to a report on Sky News yesterday, the situation for first time buyers in the UK is looking increasingly grim. The housing market is still fairly flat, but because lenders are\u00a0insisting buyers have large deposits before they lend them any money, wealthy landlords are\u00a0the only people who can afford to buy.<\/p>\n
Average Financial Wealth<\/strong><\/p>\n Research carried out by the Strategic Society Centre and published by Sky News indicates that the average landlord<\/a> in the UK has around \u00a375k whereas most first time buyers are lucky if\u00a0they can raise \u00a310k to their name. Since even a cheap property in some parts of the UK is\u00a0currently on the market for more than \u00a3200k, clearly \u00a310k is nowhere near a big enough deposit\u00a0to secure a mortgage.<\/p>\n Growth of the Rental Market<\/strong><\/p>\n The rental market in the UK is growing steadily. The number of households renting a home has risen by more than 2 million in the last thirteen years and this tremendous growth shows no signs of abating any time soon.<\/p>\n Boom Time for Landlords<\/strong><\/p>\n First time buyers may be finding it tough, but landlords are cashing in on the demand for rental property<\/a>. Existing landlords are taking advantage of the favourable economic \u00a0conditions\u00a0and expanding their property portfolios while interest rates are low and demand is high. First\u00a0time landlords are also jumping on the bandwagon and investing in buy to let homes. And according to the experts, the private rented sector is going to play an increasingly important role in the future housing market, so if you have the spare cash, property is a far better investment than a UK savings account.<\/p>\n <\/p>\n","protected":false},"excerpt":{"rendered":" According to a report on Sky News yesterday, the situation for first time buyers in the UK is looking increasingly grim. The housing market is still fairly flat, but because lenders are\u00a0insisting buyers have large deposits before they lend them … Continue reading