Staggering UK house prices, soaring rents and lack of jobs are keeping young people – especially those in Nottingham – living at home in an attempt to save enough for a deposit.
The Office for National Statistics found that 3.3 million people aged between 20 and 35 live at home with parents, a 38% increase over the last 13 years.
Rising house prices are making it increasingly difficult for young people to get on to the property ladder.
During the last year, property values in Nottingham were 4% up on the previous year and 11% up on 2014 when the average house price was £157,318.
2016 average house price in Nottingham: £174,622
Despite the Government vowing to help first time buyers onto the market, one in four people in their twenties and early thirties now live with their parents.
One of the largest problems young people face is the large deposits requested by landlords.
First-time deposits have increased from around 10% of the purchase price to around 20% today, which may explain why people are leaving it later to fly the nest.
While house prices have risen recently, they have not always been matched with increases in earnings. The percentage of unemployed people who live with their parents is around 13% in the UK.
The people of Nottingham had mixed concerns regarding house prices
The increase in the number of young adults living with parents also coincides with the introduction of a stricter criteria in mortgages.
The stricter criteria and rising private rents is a likely factor to have driven people back to their family homes.
The percentage of 25 to 34 year old householders renting their home has surpassed those who own their homes over the last decade.
There has been a noticeable increase in renting since the early 2000s.
Young adults are increasingly returning to their family homes in order to save themselves money, and parents who cannot afford to offer financial aid seem willing to help.
A Nationwide survey found that 28% of adult were living at home because they were trying to save for a deposit.
— Under The Hood News (@UTHNOTTS) February 21, 2017
Five facts about housing in the UK
- The average UK house price was £214,000 in June 21016
- The percentage of 25 to 29 year olds owning their home decreased from 55% in 1996 to 29% in 2015
- All the countries that constitute Great Britain have experienced rises in their private rental prices since 2011
- In 1995 the cheapest small area in England and Wales to buy a property was in the Alexandra Park area of Manchester
- The overall level of housing built in the UK has declined since 1980, with 152,380 houses built in the finical year ending 2015