PropertyMarket News & Analysis

Millennials' 25% Chance of Homeownership Highlights Housing Crisis

In the UK, individuals born in the mid-1990s have about a 25% chance of owning their own home, which is notably lower than the previous generations. The UK government estimates that 300,000 new homes are needed annually to meet population changes, but only 208,000 were built in the last year. The cost of constructing a home has increased significantly, with prices rising from £150,000 in 2015 to potentially £230,000 now, and a further increase of 15% expected in the next five years. This situation impacts young buyers, pushing many to live at home to save on rent, which can absorb a third of their income, highlighting ongoing challenges in the housing market.