According to the HomeOwners Alliance‘s Homeowner Survey, which has tracked UK housing concerns for the past decade, the leasehold system has seen the largest increase in concern, going from 22% in 2015 to around 64%.
This in spite of leasehold reform being a key legislative area for the former Conservative Government, and a manifesto commitment and area the current Labour Government is working on.
Stamp duty rates have also grown as a concern, jumping by 13% over the last 10 years to around 64%.
The home buying and selling process was cited by around 60% as a very or somewhat serious concern, a rise of 9% compared to 2015.
FTBs, house prices, deposits and housing supply remain key issues
The HomeOwners Alliance said there are long-standing concerns around first-time buyers’ ability to get onto the property ladder, house prices, saving for a deposit, and the quality and availability of housing.
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These issues still top the list of housing concerns 10 years on, with the figures in line with those of a decade ago – with 81% pointing to the ability of first-time buyers to get on the ladder and house prices as concerns.
Around 79% cited saving for a deposit, 77% pointed to housing quality and 75% named the availability of housing.
Aspiration to own a home at lowest for a decade
The HomeOwners Alliance added that the aspiration to own a home has fallen to its lowest level for 10 years.
Around 64% of non-homeowners aspire to own, a drop from 71% last year and below the previous low of 65% in 2013.
The report said increases in the past had been due to the introduction of first-time buyer relief like Help to Buy, the Help to Buy ISA and the Lifetime ISA.
However, now that the Help to Buy equity loan and stamp duty relief for first-time buyers have ended, this could have contributed to the decline in aspiration.
Approximately 42% of aspiring homeowners believe that now is a bad time to buy a home, which is higher than the 31% of UK adults more broadly.
Financial issues were singled out as one of the main barriers by 82% of aspiring homeowners, with examples including the cost of living, mortgage costs, economic uncertainty and the rising cost of stamp duty.
Paula Higgins, chief executive of the HomeOwners Alliance, said: “These figures should ring alarm bells in Government. It’s unacceptable that Brits wanting to buy a home continue to be stumped by not enough homes and sky-high house prices. And if those perennial barriers weren’t bad enough, homebuyers also have to navigate the complex and uncertain leasehold landscape. Despite Government’s leasehold reforms, whether recently passed into law, pending or promised, action has been slow and frustration is growing – particularly among leaseholders trapped in homes they have little control over.
“Stamp duty continues to be a major block on movement for families up and down the country. While some reforms have rightly targeted investors and second homeowners, this upfront tax remains a huge financial barrier to everyday homeowners. It discourages them from moving and penalises first-time buyers, who have seen their tax-free thresholds cut.”
She added: “The buying and selling process in England and Wales is a well-known joke. In a world where almost everything can be done efficiently online, it’s frankly ridiculous that buying a home is taking longer than ever. According to TwentyCi, the average time to buy a property in 2024 was 122 days – up from 94 days just 10 years ago. That’s a 30% increase, and a clear sign the system needs urgent modernisation.
“Hearing from first-time buyers everyday here at the HomeOwners Alliance, we knew that for many people, the prospects of homeownership was bleak, but to discover that aspiration to own is at its lowest level for over a decade – with just 64% now saying they want to own, down from 71% last year and even lower than in 2013 – is a shock. The dream of homeownership is slipping further out of reach and fading fast for an entire generation.”
This article was first published on YourMoney.com‘s sister site, Mortgage Solutions. Read: Leasehold, stamp duty and home buying and selling process are fastest growing concerns for homebuyers over past decade
