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Four in 10 renters eye moving back in with parents

Four in 10 renters eye moving back in with parents
Samantha Partington
Written By:
Samantha Partington
Posted:
11/06/2024
Updated:
11/06/2024

Rising rents and mortgage affordability challenges are driving tenants back to their parental homes to boost their chances of saving for a property.

Four in 10 renters say that they would consider moving back in with their parents to save a big-enough deposit to get on the housing ladder, according to a survey of 2,000 tenants carried out by Skipton Building Society.

While 52% of those considering it feel it is a move backwards, 91% said it would be a short-term sacrifice for a long-term gain.

Around a fifth of those prepared to move back home estimate they will have enough money saved for a deposit within a year.

Data from the Office for National Statistics (ONS) shows that annual private rental prices increased by 6.1% in England, 7% in Wales and 6.8% in Scotland in the 12 months to January 2024.

In March, the ONS reported that average rents in the UK had jumped 9% year-on-year.

Within England, London had the highest annual percentage change in private rental prices at 6.9%, while the North East saw the lowest at 4.7%.

Not feasible for all

But not all renters polled had the option to move back in with parents, with tenants citing a lack of space or distance from work as reasons a move home was not feasible.

Skipton’s research follows rental data from Hamptons, part of the Skipton Group, that revealed the average rent paid by someone leaving the parental home passed £1,000 per month for the first time in 2023.

The average would-be tenant who didn’t fly the nest would have the opportunity to save up to £12,290 if they could live rent-free with parents for a year.

With rising rents and the cost of living, the tenants polled are currently only able to save £187 per month towards their first house deposits – but if they were to move back in with parents, they could put as much as £808 away monthly, according to the society.

And with 20% feeling it will take them more than five years to save for their first home while renting, 63% admit their family members are unable to contribute to their savings.

Jennifer Lloyd, head of mortgage products and proposition at Skipton Building Society, said: “People trapped renting is one of the biggest housing challenges we face across the country, which is having a massive impact on the fabric of our society.

“With escalating rents and the cost-of-living squeeze further impacting people’s ability to save for a house deposit, it’s making it almost impossible for people to get on to the property ladder, so it’s no wonder we are seeing a rise in the number of tenants considering a move back home.”