Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Strategy. Read the original article for full details.

Connells: A Third of Renters Face 35-Year Wait to Buy a Home

A third of UK renters are saving £100 or less each month and could face a 35-year wait to get onto the property ladder, according to research from Connells. The study highlights that rising house prices and high rents are making it increasingly difficult for renters to save for a deposit.

Connells, part of the Skipton Group, found that the average first-time buyer deposit is currently £41,403, with the average property purchased by first-time buyers costing £243,883. The research suggests that renters starting from scratch may need decades to save enough for a deposit, especially if house prices continue to rise.

The survey revealed that 73% of renters feel 'locked out' of the property market, with 45% citing high rents as the main obstacle to saving. Additionally, 32% of renters are spending between 40% and 60% or more of their salary on rent, which is well above the commonly referenced 30% affordability guideline.

The financial strain is also affecting renters' personal lives. According to the research, 68% feel they are putting their lives on hold to save for a first home while continuing to pay rent. Most respondents (94%) reported making sacrifices, such as cutting back on holidays (49%), socialising (45%), or delaying major life events like marriage or having children (20%). Furthermore, 43% said these sacrifices have negatively impacted their mental health.

The research, commissioned by Skipton Building Society to mark the third anniversary of its Track Record Mortgage, also found that 82% of renters believe that being able to afford rent should be sufficient proof of their ability to afford mortgage payments. However, 35% of respondents said they feel stressed about money all the time, and the same proportion described the process of saving for a deposit as long and exhausting. Thirty percent admitted to feeling anxious about their future.

When asked what would help most, 34% of renters pointed to lower deposit requirements, while 31% wanted more genuinely affordable homes to be built. A quarter of respondents said lenders should better recognise their ability to afford mortgage payments based on their rent history, and 24% called for more flexible or accessible mortgage options.

These findings are particularly relevant for letting agents and inventory clerks, as they highlight the ongoing challenges faced by renters and the potential impact on the rental market.