Renters In Gloucestershire Could Own A Home Within Just Months Of Saving
15 Sep 2016

Owning a property could be a closer reality than most think

Those trapped in rented accommodation could afford to buy a new home within just months according to a new piece of research* conducted by Linden Homes. The findings from a recent survey by the housebuilder found that the average renter spends £6,716.31 per annum on their rental costs working out at £559 per month – an amount that could be saved to put towards a deposit to buy a property.

A recent government housing survey found that Bank of Mum and Dad continues to be relied upon with 27% of young adults relying on family and friends for help with a deposit1 with the average amount being lent or gifted being £16,0002 . Findings from the survey commissioned by the top five housebuilder revealed that 18 per cent would find other ways to fast track saving by living with family or friends.

Peter Carpinelli, Managing Director at Linden Homes Thames Valley comments: “Rental costs mean that generation rent continue to feel trapped in the cycle of paying into someone else’s pocket so it’s no wonder then that renters aspire to be free of that burden. However, with the additional help of schemes such as Help to Buy, home hunters only require a minimum of 5 per cent deposit of the home’s value to qualify for a mortgage. Based on a minimum 5 per cent deposit of £10,450 (using Help to Buy** on an average home priced at £209,0003 ) homeowners could be paying as little as £570.794 per month.”

It also emerged, from the survey that an astounding 40 per cent of renters have been renting for nine or more years. Regardless of this lengthy time in rent, most renters (over 57%) feel that it is very important to own their own home. However, despite this ambition, approximately a third (30.75%) of those surveyed don’t believe they will be a home owner in their lifetime.

Those renting also cited their dissatisfaction with their current property: Over 50 per cent said they are not happy with renting and when asked how they felt about their current rental property, outlined multiple negativities, including that the property doesn’t suit their taste (15%), that their property is too small (25%) or there is too much wrong with the property (16%). In addition, over a quarter (26%) of renters feel restricted that they can’t decorate the rental property as they would if it was their own and over a third (31%) of all renters feel like renting is a waste of money.

Peter continued: “Buying your own home is an exciting time, especially when you have been in rented accommodation for a number of years and perhaps felt restricted in your rental property. When owning your own home you can look forward to decorating the space with your own individual taste to suit your lifestyle and interests. For most, the biggest advantage of all is that you will be paying off your own mortgage rather than someone else’s.

“The recent lowered mortgage rates are also a positive step towards making home ownership more achievable. These lowered rates, in addition to schemes such as Help to Buy make it a good time for buyers to get onto the ladder.”

Linden Homes has a number of homes available for Help to Buy in Gloucestershire including Honeystones in Bourton-on-the-Water and Victory Fields in Upper Rissington.

You can check out the Help to Buy cost calculator on Linden Homes’ website to see what value property you could buy and availability in your area: www.lindenhomes.co.uk/helptobuy.

-ENDS-

* Study surveyed 2,000 people across the UK aged from 18 years to 55 years+ conducted by 72 Point in May 2016.
**The Help to Buy scheme then provides a 20 per cent equity loan from the Government (including first time buyers and home movers) or 40 per cent on the Help to Buy London scheme without being charged loan fees for the first five years.

Gov.uk: English housing survey 2014 to 2015: first time buyers and potential home owners report, July 2016 
Legal & General, The Bank of Mum and Dad Report, May 2016
ONS House Price Index: April 2016 
Based on Nationwide 2 year fixed mortgage at 1.89% over a 30 year term

Media can contact Fotini@remarkablegroup.com or alice.cannell@remarkablegroup.com for more information, images and interviews with Linden Homes.

 

 

References to “we”, “us” or “our” are to the part of the Vistry Group (including Linden Homes, Bovis Homes, Countryside Homes, Drew Smith, Vistry Ventures or one of Vistry’s joint venture companies) from which you are intending to purchase a new home. References to "you” and “your” are to the prospective buyer or buyers of a new home from us.

All images are used for illustrative purposes only and are representative only. They may not be the same as the actual home you purchase and the specification may differ. Images may be of a slightly different model of home and may include optional upgrades and extras which involve additional cost. Individual features such as windows, brick, carpets, paint and other material colours may vary and also the specification of fittings may vary. Any furnishings and furniture are not included in any sale. Please check with our sales consultants for details of the exact specifications available at the development(s) for each type of home and the associated prices.