The idea that the rental market has been gaining momentum over the years has some weight behind it. The 2021 census reveals that the number of households in England and Wales that rent has more than doubled over the last twenty years while home ownership rates have declined.
This article does not constitute advice. Professional advice should be taken prior to acting on any part of it. Your home may be repossessed if you do not keep up repayments on your mortgage or any other debt secured on it.
According to the census, 5 million households are now private renters, which equates to one in five of homes, jumping up from 3.9 million in 2011. Back in 2001, the total came to 1.9 million. Flats, maisonettes, and apartments are the fastest-growing type of abode, with just under 1 million (900k) more households calling these types of dwelling home.
Home ownership fell from 64.3% in 2011 to 62.5% in 2021 even though Conservative-led governments have been promising a boost in home ownership for ages. New build home targets are well behind as well. The government set the target of building 300,000 new homes a year, but in the last year, less than half of their goal has been reached with only 140,000 complete.
It might come as a surprise just how many homes are rented as opposed to owned since the 2010s started off with twice as many homeowners versus private renters. Just one decade later and those figures have been shaken up quite a bit and thanks to the current economic climate and the higher interest rates in the mortgage market, the numbers will likely only increase.
The area with the most homeownership was southern England, in places such as New Forest and Wealden as well as Monmouthsire in Wales. The rental market is alive and well in the capital, with over half of all households classifying as rentals and the lowest level of homeownership reported. Outright homeowners, however, have increased by 900,000 to 8.1 million households.
For any questions or concerns about how the housing and rental market fluctuations will affect you, contact the experts at Dental & Medical Financial Services today.