The survey revealed that less than a quarter (24 per cent) of renters are currently saving for a deposit, with over half (52 per cent) saying they felt priced out of the housing market, suggesting an acceptance among those in the private rented sector (PRS) that owning a house is unattainable.
The findings support the notion that the rising cost of house prices and day-to-day living, coupled with low salaries, is prompting an ‘unaffordability’ crisis within the UK.
Andy Phillips, commercial director at Knight Knox, said: “With rising house prices and stagnant salaries, it appears that many people currently renting have come to terms with the idea that they’ll never own a home and now accept renting as a viable option in the long-term.
“We’ve grown up in this country with the notion that you must settle down and buy a house but, due to numerous factors, that’s not as much of a reality as it once was and we’re starting to see the stigma traditionally attached to renting dissolve.
“The reducing number of people saving for a deposit could mean we’re seeing a shift towards a PRS-centric property landscape, similar to that which has long been a way of life in Germany and wider continental Europe.”
In support of these findings, close to two thirds (60.7 per cent) of participants said they were content to rent, citing reasons such as renting suiting their lifestyle and not wanting to be tied to one property or a lengthy mortgage contract.
Andy added: “The traditional model of homeownership doesn’t suit everyone’s lifestyle and whether it’s the best way forward is being called into question. Meanwhile, the PRS is increasingly being seen as an essential solution to the lack of housing available, with rented homes expected to account for over seven million homes in the UK by 2025.”
*Knight Knox polled 2,000 people currently renting property in the UK.