58% Of Young People Think They’ll Never Own A Property

Dec. 7, 2010 - PRLog -- New research from the UK’s leading discount and voucher code website has revealed that 58% of young people think they will never own their own property; with two thirds of these stating the main reason for this was because they ‘could never afford a deposit.’



www.MyVoucherCodes.co.uk polled a sample 1,721 people aged 16-21, each of whom were still living with their parents. The study aimed to find out more about young people’s attitudes towards getting on the property ladder; and respondents were required to answer a series of questions on the subject.



The 58% of people who thought they would never own their own property were subsequently asked to state why they thought this was the case. 67% explained that they would ‘never afford a deposit;’ whilst 3% thought they would ‘never leave home’.



These respondents were further asked what they believed they would do instead of owning a home. 77% explained that they would ‘probably always rent privately’; whilst the remaining 23% believed that they would ‘probably always rent a council house.’ When asked, ‘Do either or both of your parents own their own property?’ just under half, 46%, said that they didn’t.



Those who stated that they would ‘probably always rent privately’ were further questioned by MyVoucherCodes.co.uk. Whilst 37% stated that they preferred the idea of renting as it was ‘less commitment;’ 48% stated that they ‘hated the idea,’ claiming it was ‘just dead money’. The remaining respondents were indifferent.



Of the total respondents to the study, 82% had concerns about getting on the property ladder; but the poll also revealed some misconceptions that young people have about buying and renting. 9% of the young people asked thought property could only be bought if the buyer had the full sum of money being asked for, demonstrating a lack of understanding about mortgages.



Of the respondents who claimed they would eventually own their own home, 11% stated it would be down to either inheriting a property or money to help purchase a house. A further 52% of those who thought they would own a property believed that they’d ‘probably never complete mortgage repayments.’



Farhad Farhadi, personal finance expert at MyVoucherCodes.co.uk, commented on the findings;



“I think it’s a very sad reality that so many young people think they’ll never own their own property. Getting onto the property ladder is one of the single most expensive things a young person can do, so I can see why it is so daunting for many.”

“Renting often seems like the easier option, particularly with the lack of commitment involved, and the low deposits required. However, it is indeed dead money, and can be a huge waste in the long-run. Once you have a deposit saved up, mortgage repayments can be much smaller than some landlords or lettings agents ask for in monthly rent payments, so it’s definitely the better option.”



He concluded, “If young people are just more savvy about saving from an early age, getting onto the property ladder won’t be quite the challenge they expect it to be.”



LINK http://www.MyVoucherCodes.co.uk



ENDS



Mark Pearson, chairman of MyVoucherCodes is a regular media contributor regarding online shopping and the credit crunch. At 30, his personal worth is more than £30 million. Mark was previously a trainee chef working for Gordon Ramsay at Claridges, London.



Mark appeared as a ‘Secret Millionaire’ in the series on Channel 4, in which he donated £115,00 of his own money to worthy causes.



MyVoucherCodes has had sales exceeding £481m in the last year



Consumer savings on online shopping via MyVoucherCodes.co.uk up from £28m in 2008 to £52m in 2009.



MyVoucherCodes is the UK’s most popular discount site.