Generation Rent?...

So those born in the 80’s are generally worse off than those born a decade before in the 70’s, with only half the average household wealth and only 40% owner occupiers of property. The last cohort to have a similar low ownership rate were those born in the 1930s!

So what’s the answer? Well we recently reported that many a lender is now raising their maximum age for mortgage borrowers into their 80’s. Rates are also continuing to fall, the Leeds BS being the latest to follow the trend with a 10 year fix now available for 2.55% and maximum terms extended from 25 to 40 years for those wanting to borrow past retirement age.

Seems the increasing general solution for the country’s housing crisis is ever cheaper debt and spread over a much longer period! (Deja vu anyone?) However this doesn’t really address the fundamental flaw – house prices are just too unaffordable for many! (Perhaps we should build a few more, and at affordable prices? Just a thought.)