Millennials sacrifice relationships, marriage and kids to buy a home
Millennials, aged 18-34, are making significant sacrifices to get onto the property ladder that previous generations didn’t have to consider, according to Trussle.
The online mortgage broker found that 16% of millennials had to move back in with their parents, compared to just 5% of Generation X (age 35-54), while a further one in five (17%) were forced to take a second job.
Life on hold
Millennials are also 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.
But with house prices almost 15 times more expensive than they were 40 years ago, and rising almost twice as fast as wages, it’s no wonder they have to make huge sacrifices to buy a home.
Since 1978, the average UK house price has risen from £14,236 to £211,000, soaring 1,382%. In comparison, the average annual UK salary has risen from £3,269 to just £26,500.
Ishaan Malhi, CEO and founder of Trussle, said: “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.
“The major sticking point is that mortgage products are outdated. To fit the current landscape, lenders need to take a long-term view on an individual, taking into account earning trajectory to assess affordability, and creating individual mortgage products based on personal circumstances.”