70% of renters do not intend to buy a property

70% of renters do not intend to buy a property

New research from insurer Direct Line for Business has revealed that out of the 17 million people currently renting in the UK, only 30% are planning to buy a property in the future. That means a staggering 70% are either too cash-strapped to enter the property market or are quite content with renting for the long-term.

These figures show a fundamental shift in attitudes towards home ownership in the UK with a move towards a ‘German-style housing model’, with future generations most likely to live in rented accommodation, enjoying the freedom and flexibility that renting can give you.

Flexibility is an important factor for today’s tenant, many of whom do not want to be tied down to a mortgage (22% of respondents to Direct Line’s research said they did not want the financial commitment that comes hand-in-hand with a mortgage). 9% of people in the survey stated that they wanted the freedom to travel and 8% said that they prefer renting because it doesn’t commit them to a specific location, which is particularly important if you want to have flexibility in the jobs market.

Around 22% also said that the costs associated with owning and maintaining a home were prohibitive, preferring landlords and management companies to deal with issues as and when they arise.

Commenting on the research, Christina Dimitrov, Business Manager at Direct Line for Business, said: “The UK housing market continues to change and we are seeing a major attitudinal shift when it comes to renting. While price is a factor. May people are increasingly comfortable with the flexibility afforded by renting a property, rather than jumping into home ownership.”