September 30th, 2006 No Comments » | POSTED BY ROB

MoneyExpert: Young Londoners Feel Mortgages Are Far Off

Over a third of young people in London do not expect to be able to leave home until they are over 25, new research from Engage Mutual Assurance reveals.

Under the pressure of student debt, 29 per cent of Londoners under 25 also do not expect to be able to afford their own home until they are over 30, while a worrying eight per cent nationwide expect never to become homeowners.

A spokesman for Mutual Assurance, Karl Elliott, linked young people’s modest aspirations to their lack of financial independence.

“Money is often a key determinant in deciding when the time is right for young adults to move out of home,” he said.

Only 11 per cent of under-25 year olds can currently afford a property, and up to ten per cent will choose to enter the buying process first time round with a friend.

Rising ages for first home-ownership, which now averages at 29, mean that an increasing number of people are entering into mortgage arrangements whose repayments will stretch into their retirement years.

This article: © Moneyexpert Ltd.