Renting Demand For All Adult Age Ranges On The Rise
published on 04/11/2019
New research from an international law firm FTI Consulting shows that the rental sector in major UK cities is now changing its demographic make-up and including far more retirees than ever before. The study surveyed 6,500 people living and working in three British cities as well as 200 estate agents and developers to get their findings.
As we know the national rental market is now larger than ever, with UK homes today costing eight times average earnings – and over 13 times in London. The ratio has doubled since 1997, meaning that owning a home is become more unattainable than ever before leading to renting become something that is more of a requirement in our society than it used to be.
In fact, some 56 per cent of respondents from the survey agreed that owning a property is becoming less popular with 69 per cent believing that their government should encourage more homes being available for rent rather than to buy.
Additionally 61 per cent of all respondents would consider renting when they retire, with 53 per cent of over 55s in agreement.
Millennials have long known that the percentage chance of them owning a property is significantly lower than their parents generation. However it now seems that the baby boomer generation is seeing renting as a legitimate option later in life more than ever before. Retirement accommodation is being seen as a much more viable option than it was 20 years ago just purely down to the level of quality accommodation available.
The poll asked the generational groups what were the motivations for moving accommodation, with the number one reason being the need for more living space (29 per cent). Only the baby boomers (14 per cent) said they would move because they need less space - an indication that the later living model would appeal to this equity and cash rich group.
It's also a boost for Landlords across the UK as the older generation are far more likely to be become long terms tenants.