Interest peaks between the ages of 25 and 34, with more than half of tenants keen to buy the home they’re currently living in. This compares to just under one-in-three of those aged between 65 and 74 (32%), the age group least motivated to buy out their landlord.
Top reasons why tenants want to buy the home they currently rent:
| Good location | 51% |
| Love the property | 50% |
| Want to avoid the hassle of moving | 38% |
| Spent money furnishing the property | 36% |
| Close to family/friends | 35% |
| The property suits my needs | 21% |
Wayhome says in reality, most UK tenants wanting to buy the property they rent in today’s market face tough challenges. When applying for a mortgage, a first-time buyer will be approved for 3.55 times their gross household income1. When the average UK income of £47,662 is considered2, it can leave those buying on their own with a mortgage worth as little as £169,200.
Even if their landlord were happy to sell, the strict lending criteria enforced by the high street banks severely limits their chances of securing a mortgage sizeable enough to buy the property.
Wayhome, which could help tenants buy their home from a willing landlord, warns that the property market needs to adapt to enable more people to get onto the housing ladder.
Chief executive officer Nigel Purves comments: “It is clear from this research that renters in the UK want to have more of a stake in their home. But with prices going up, mortgage affordability becomes more constrained than ever, which makes getting on the ladder an increasingly distant dream.”
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