News: Home Ownership Declines as Property Prices Rise
In light of Brexit, the British economy remains somewhat shaken, with uncertainty surrounding what will happen over the next few months, as Britain works out the plans to leave the EU. Recently published research from the Resolution Foundation found that soaring property prices over the years have had a direct impact upon home ownership levels.
In England, home ownership has taken a dramatic decline in 2016, and currently stands at its lowest level since 1986. Ownership peaked to 70.8% in April 2003, but statistics from February 2016 showed that this figure has plummeted to 63.8%.
The situation across the rest of the UK isn’t much different either – according to the Resolution Foundation, home ownership has dropped nationwide by 6.8% from a peak of 70.9% in 2004. As such, this shows that “the housing price boom” is no longer isolated to London but has reached areas in northern England and the Midlands, where homes were once considered much more affordable than in southern parts of the UK.
Greater Manchester is the region that has been affected the most, with stats highlighting that Mancunians are no more likely to own their own home than those living in the suburbs of London. In contrast, the proportion of private renters across England has nearly doubled, up from 11% in 2003 to 19% in 2015. Coinciding with the decline of home ownership in Greater Manchester, the figures of private renters in the region has more than trebled from 6% to 20%.
How to Tackle Rising Prices
If you are looking to take your first steps onto the property ladder, you should not feel too deterred by the rising prices. Whilst the initial deposit is the key issue for many prospective buyers, there are a number of flexible lending options that can help you make the initial payment towards a property.
Affirmative Finance Can Help Fund Your Property Purchase
A bridging loan is just one option if you need flexible, short-term finance. With Affirmative, you can borrow between £10,000 and £5 million, with easy and quick access to these finances, giving you the potential to cover the initial deposit of a property, and meet additional payments where necessary.
Contact our Manchester-based team on 08000 44 84 84 to find out how our flexible lending options can help your property purchase, or email us directly on firstname.lastname@example.org.