In the capital buyers will require a typical deposit of £138,000 to buy in London’s inflating market, where prices are projected to rise by £558,000 in the next four years.
London first-time buyers will need to earn £106,000 to get on the property ladder by 2020, Shelter research has warned.
In the capital buyers will require a typical deposit of £138,000 to buy in London’s inflating market, where prices are projected to rise by £558,000 in the next four years.
Currently London first-time buyers need to earn around £80,000.
For the whole of the UK first-time buyers would need to earn £64,000 by 2020 to get on the housing ladder, up from the £52,000 currently required.
Campbell Robb, Shelter’s chief executive, said: “When house prices are increasing fifteen times faster than the average wage, it’s no wonder Londoners on ordinary incomes are being locked out of a home of their own.
“With the situation only set to get worse, Generation Rent will be forced to resign themselves to a life in expensive, unstable private renting, and wave goodbye to their dreams of a home to put down roots in.
“It doesn’t have to be like this. The next Mayor of London has the power to turn our housing crisis around, and with only weeks before Londoners go to the polling booth, the candidates must commit to investing in homes that people on ordinary incomes can actually afford and making renting more secure.”
