Priced Out: owning a home not a top priority for Millennials

Millennials aged 18 to 34 are putting plans for romance, children and even hobbies on ice as they make huge sacrifices in a bid to get on the property ladder. 

That’s the verdict from mortgage broker Trussle which has asked over 2,000 mortgage borrowers about the compromises they feel they have made to afford a home. 

One in five say they’ve had to move back in with their parents, compared to just one in 20 of Generation X - those now aged 35 to 54. 

Millennials are more than twice as likely to put off getting into a romantic relationship, twice as likely to delay having children, and 3.5 times as likely to sell their car, compared to the generation before them.

Trussle says house prices are almost 15 times more expensive than they were 40 years ago, rising almost twice as fast as wages. 

Whereas since 1978 the average UK house price has risen from £14,236 to £211,000, soaring 1,382 per cent, in comparison the average annual UK salary has risen from £3,269 to just £26,500. 

When asked about their top three life goals, Millennials gave top place at travelling the world (27 per cent), then to having children (24 per cent), and finding the perfect job (24 per cent again). 

Buying a home only ranked fifth (on 21 per cent) yet this was the biggest life goal for both Generation X (36 per cent) and Baby Boomers (42 per cent).

“It shows just how unaffordable it currently is for first-time buyers and there needs to be serious commitment to innovation to make home ownership more affordable and accessible to young people once again” says Ishaan Malhi, chief executive and founder of Trussle.

“Building new homes is not enough. We have seen new moves from the government to enable renters to build credit, which is a step in the right direction to help young people. However, the major sticking point is that mortgage products are outdated” he claims.