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Private landlords in the UK play a vital role

September 1st 2016
By: Melanie Hollidge
Private landlords in the UK play a vital role

Private landlords in the UK play a vital role in providing accommodation for the growing amount of people who can no longer afford to buy their own homes.
 
Since the early 2000’s there has been a significant drop in home ownership, and not only in the Capital, according to a new report by the think tank Resolution Foundation. People who aspire to buy their own homes in other cities such as Manchester, South and West Yorkshire and the West Midlands are also finding it difficult to secure their own homes. Since 2003 there has been an 8% drop in homeownership across the UK.
 
Rental properties have become more important for people who cannot afford to buy a property or save up the deposit needed to secure a mortgage. Although we have seen the return of mortgages with low deposits, the price of buying a new home still remains a dream for most, as increases in the price of buying a property have not been reflected in people’s wages. 
 
Although Teresa May has promised to tackle the housing deficit, some skeptics think that she will probably have to spend most of her time in office tackling a Brexit.
 
Stephen Clarke, policy analyst at the Resolution Foundation stated: ‘London has a well-known and fully blown housing crisis, but the struggle to buy a home is just as big a problem in cities across the North of England. The chances of owning a home have fallen fastest in Greater Manchester over the last decade, though the Leeds and Sheffield city areas have also experienced sharp drops.’
 
‘These drops are more than a simple source of frustration for the millions of people who aspire to own their home. The shift to renting privately can reduce current living standards and future wealth, with implications for individuals and the state,’ he pointed out.
 
‘We cannot allow other cities to edge towards the kind of housing crisis that London has been saddled with. It’s encouraging that the new Prime Minister has talked about tackling the housing deficit. She may find that making good on this promise could secure as important a legacy as negotiating a successful exit from the European Union,’ he added.
 
If you would are looking to buy a rental property then why not pop into your local branch of Goodfellows or call our team on 020 8102 0554 to find out more information.

Source: Property Wire