omeowners and buyers at all stages of the property ladder are being forced to compromise on their living conditions as a lack of appropriate housing supply is available due to the ongoing property crisis, according to a new report from Yorkshire Building Society.
The report conducted among 1,750 UK adults found that two thirds of Britons (59%) felt trapped in property that doesn’t meet their needs, but have nowhere to go as insufficient suitable housing, the cost of moving and properties being too expensive in their desired area all become barriers to their perfect home.
Almost a quarter (23%) of downsizers, or those looking to move into smaller properties in later life, point to the lack of suitable or available supply as their biggest barriers to moving.
This restricts the availability of larger properties – in demand by second and third-steppers – from being freed up to those further down the housing ladder.
As a result, the majority of homebuyers across the board (60%) claim there isn’t enough suitable housing in their local area.
Nitesh Patel, economist at Yorkshire Building Society, said: “Demand for housing has far outstripped supply for years, but it’s not just the quantity of houses we’re lacking, but the type and suitability of properties coming to market – be that new, or existing homes.
“Buyer needs and priorities change as people move onto and up the housing ladder, but there’s a significant number of properties, particularly larger family homes, currently occupied by trapped downsizers. These homes could be freed up if those in them felt there was suitable accommodation to move to in their local area.”
According to the Yorkshire’s research, one-in-four (27%) first-time buyers said their main reason for homeownership is to get a foot on the ladder. However, a quarter (27%) did say they would be willing to buy a smaller property, or move to a more affordable location (23%) to achieve their aspirations.
With three quarters (75%) of home buyers fearing homeownership is being pushed out of reach, those surveyed argue that the government is responsible for fixing the housing crisis, and could start by scrapping stamp duty.
Two-in-five (41%) suggest a permanent removal of the tax could address some of the issues by easing the financial burden, while a third (35%) said more homes for all stages of life should be built.
Similarly, a third (32%), say the government should provide more financial support to all stages of the housing market, not just first-time buyers.
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