Younger generations continue to prioritise home ownership despite affordability challenges, according to new research from estate agency brand LRG.
The analysis found that 84% of under-45s consider owning a home essential, compared with 70% of over-65s. Across all age groups, 75% viewed home ownership as essential.
Deposit savings prioritised
When asked what they would purchase first if starting out today, 82% of respondents selected a home to live in, whilst only 6% chose an investment property to rent out. More than half of those surveyed – 55% – said they would prioritise saving for a deposit even if it meant forgoing other expenditure, compared with 24% who would balance saving with current lifestyle spending.
Mark Manning, Managing Director of Northern Estate Agency Group, part of LRG, said: “Across Manning Stainton, Ryder & Dutton and Mortimers, we meet people in their twenties, thirties and forties who know exactly what they want and have usually been working towards it for years.”
Manning advised potential buyers under 45 to obtain detailed financial assessments before concluding that home ownership is unattainable. “Find out what you can borrow, what the deposit really needs to be and what the whole move will cost,” he said.
Government scheme details pending
The findings come ahead of the Budget later this month, which is expected to reveal further details of the Government’s Your First Home scheme. Tim Foreman, Managing Director of Land and New Homes at LRG, noted that for most first-time buyers, the deposit remains the primary barrier rather than the desire to purchase.
“Help to Buy took a few months to bed in before people understood it, and this may be the same,” Foreman said. He added that prospective buyers who are ready to proceed should not delay, but should review the scheme details after the Budget to determine whether it suits their circumstances.
The research suggests demand for owner-occupied housing remains robust among younger demographics, even as lending solutions continue to evolve across the residential sector. This sustained appetite for home ownership comes at a time when property finance providers are reporting strong lending volumes, indicating continued market activity despite affordability pressures.
