Quitting the capital: Over 40% FTBs want to leave London

Quitting the capital: Over 40% FTBs want to leave London

According to a new survey from Yorkshire Building Society, nearly half of all first-time buyers in London claimed that spiraling house prices are preventing them from buying a property.

The data revealed that 43% said they would be willing to move to a more affordable part of the UK if it meant they were able to own their first property.

Alarmingly, 26% of London residents said they would even consider moving to another country to buy their own home.

Meanwhile, one in five aspiring first-time buyers in the capital claim they have moved to lower quality or shared accommodation in order to save money for their deposit.

Andy Caton, Executive Director at Yorkshire Building Society, said: “The London housing market continues to be very challenging for young people looking to get on to the property ladder, due to prices which are amongst the highest of any city in the world. Even taking into account the typically higher salaries earned in this part of the UK, many young people are finding themselves priced out of the city.

It means that many Londoners at the start of their working lives are finding they have little hope of putting down roots in the capital. Although the willingness to relocate demonstrates the importance with which young people regard homeownership – as well as the lengths they are willing to go to achieve it – there are clearly acute problems facing first time buyers in London."

London's property market recovered strongly from the financial downturn of 2008 and in recent year’s property prices have risen sharply.

House prices in the capital are more than 46% above their pre-crisis peak, at an average of £525,000, according to the Office for National Statistics.

Private rents have also risen so sharply that the cost is now double the national average, at £1,400 a month, meaning that many Londoners are effectively priced out of living independently in the capital and have to resort to co-habiting with partners, friends or family.

In the Yorkshire Building Society survey, conducted by NatCen Social Research, 46% of Londoners hoping to buy their first home said that high house prices in their area were preventing them from getting on the housing ladder, compared with 22%  of first time buyers in the rest of the UK.

Londoners saving for their first home were also more likely to be living in lower quality or shared  housing in order to save money on rent, with 23% saying they had moved to cheaper accommodation, compared with 15% for the rest of the country.

Another 11% said they had moved back in with family in order to get their deposit together, according to the report.

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daniel black
daniel black 25 Oct 2016

I've been keeping a close eye on what the effect of Brexit has been on the rental market and it's a very mixed bag. Whilst the majority of the news focuses on London's market. I think this time next year...

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Northerner 20 Oct 2016

Any views from outside the M25? No wonder politicians can't get the housing big picture when everyone seems to think that London is the yard stick, when it absolutely is not.

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Sean Lees
Sean Lees 13 Oct 2016

I think that the pest control really depends on the situation. If the tenant moved in and found an infestation that needs pest treatment service, I think it's more reasonable that the landlord should pay...

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Kevin 13 Oct 2016

Please Sian Berry Dan Wilson Craw LANDLORDS DO NOT WANT TO RAISE RENTS They are being forced to because of Section 24! An unfair, punitive tax hike that will be a disaster Green Party, Generstion...

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Fletcher88 11 Oct 2016

Absolutely agree! Moreover property prices edged up with 0.7% this month as the market recovered from the initial Brexit hit

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Gary Das
Gary Das 06 Oct 2016

A lot of lenders (especially the high-street banks and lenders people approach first) could do more to accommodate for the self-employed. It can really be a struggle, as I found out myself last year when...

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richardrawlings 04 Oct 2016

Not sure I understand this! If Basildon and Hemel rose 68% and 52% respectively, why do they not appear in the top ten list, which appears only to feature those in the minus 20's!! Is it me?

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luxus 27 Sep 2016

It can be stressful. More clarity is needed on the process, from a customer perspective and consideration should be given to using the Scandinavian model where the sales process is much quicker.

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Melissa_Green 26 Sep 2016

Green belts are normally designated around capitals and other major cities and conurbations and their aim is to prevent urban sprawl by keeping land permanently open. The essential characteristics of green...

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Jimmy_McCoy 16 Sep 2016

I think that the main reason to buy garden purchases in last minute is because people always search for the best deal. In summer months there are abundance of seasonal goods and it means more low cost

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Jimmy_McCoy 16 Sep 2016

Buying a home often is more expensive than you expect. There are lots of hidden costs such as: stamp duty, surveys and valuations, mortgages etc. that can add more than 10% to the total bill

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Homebuyerconveyancing 15 Sep 2016

We are seeing a massive influx of Homebuyers using online Estate Agents. The winners are the online portals that still aim to manage the customer journey to homeownership. They provide a valuation service,...

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