Research Reveals Huge Generational Gap in UK Property Market
Homeowners aged over 50 are presently holding about three-fourths of the total wealth of UK’s property market. A new research reveals that there is need a considerable generational gap in the sector.
Older owners are presently holding an overall £2.8 trillion in equity. This is translated to about £75 in every £100. Older households do tend to be more prevalent in the South West where owners that are over 65 years old are known to own about half of all the equity for homeowners. Overall, they are collectively worth £176 billion. When this figure is added to the over 50s, the total ownership they hold is at a whopping £293 billion.
In comparison, the younger owners paled considerably. For instance, those who are under 35 only account for quite less at £6 in every £100 of the equity that owner-occupiers hold. This totals to just £15 billion
However, the divide between generations sees to be less significant in the country’s capital where those who are over 50 years old are known to account for about 65% of the housing wealth when compared to the 11% that the under 35s presently own. This may be due to the act that London is known to be a hub for the young professionals. The city boasts a 36-year average compared to the 40 years that the rest of the country has recorded.
These numbers show that there is indeed some truth in the stereotypes of the old where affluent households are actually selling up in the capital in order for the owners to come and settle in the country. The figures that were acquired from the South West of the country are enough evidence that there is indeed a trend of homeowners who are older making some lifestyle moves. As a result, they have made the region arguably become the largest naturally occurring community for retirement in the country.
It does not even come as a surprise that homeowners who are more than 65 years old also happened to have to pay less for mortgage. Their figures only amount to a collective total of £112 billion. This is indeed higher compared to the £117 billion that those who are under 35 have to pay for.
Owning a house in the UK is fast becoming only just a distant dream that so many have. Those who are presently aged around 25 to 34 are less likely to buy and own a house today when compared to their ability to actually buy one two decades ago.
Despite such a trend though, the number of individuals who are interested in buying a property has remained unchanged. A proportion of these renters are expecting to buy at some point which is at 60%. Stay informed with the recent trends in the property marketing the UK by reading about Junaid Iqbal Mohammed Memon online. You can also like and follow Junaid Iqbal Mohammed Memon on Facebook here.