This is according to exclusive research carried out by Countrywide with YouGov to highlight the affordability issues that potential homemovers face.
The survey also found:
• 12% of UK adults are unable to move home due to job insecurity
• Only a third (32%) of private rental tenants are ‘happy where they are’
• Only 5% of survey respondents are delaying buying a property because they expect house prices to fall
Over 6,000 UK adults, including private rental tenants, homeowners with mortgages, shared equity stakes, owner occupiers and those living rent-free participated in the research.
When participants were asked about their reasons for not moving home, 62% claimed they were happy where they live, 21% were unable to afford a deposit, 16% could not afford mortgage repayments, 16% listed moving costs and fees (e.g. stamp duty) as a barrier to moving and 12% cited job insecurity as a concern.
Market uncertainty played less of a part, with only 5% of survey respondents listing the anticipation of house prices falling as a factor preventing them from buying a property at this time.
Less than half (46%) of 18-34 year olds claimed that ‘being happy where I live’ was preventing them from moving – almost equal to the 45% of those aged 18-34 who cited deposit affordability as a barrier to buying a property.
The results confirm that deposit affordability is a primary issue but not the solitary factor preventing house sales.
The youngest respondents (those aged 18-24) also stated that they felt less confident when it came to their employment prospects, with 18% listing job insecurity as an obstacle. Unsurprisingly, nearly a third (31%) of 18-24 olds also said mortgage repayments were a reason for not buying.
Encouragingly, homeownership aspirations remain high throughout the UK and across all ages, with only a third (32%) of private rental tenants referencing happiness with their current property as a reason for not moving.
Of those renting, over half (56%) of tenants cited deposit affordability as a barrier to getting on to the property ladder.
Commenting Grenville Turner, chief executive of Countrywide, said: “Every day we work with homemovers to find the right property and the best mortgage deal available to them. We see first-hand that mortgage deposit and repayment affordability remain the biggest issues facing homebuyers in the UK.
“These findings confirm that we are at a crossroad for homeownership, where we could see the next generation becoming a nation of renters without the right intervention from Government.
“Based on current levels of activity, the average home owner moves house once every 25 years as opposed to once in every 12 years.
“These levels are unsustainable and we call for further support as a strong, vibrant housing market contributes to GDP growth and will dramatically improve the economy.”
