New research has revealed that on average, Britain’s renters now believe they’ll only join the property ladder in their forties, due to the cost-of-living crisis. The new study suggests that the crisis is set to give rise to a new ‘Generation Rent’ – as 57% of Brits who are not on the housing ladder believe they are likely be over 40 when they buy their first property and a quarter of current renters (26%) anticipate only being able to buy a house in their fifties.
13% believe that they could even be on their way to collecting their pension before leaving their tenancy. The findings reveal that nearly half of renters (48%) say they can’t currently afford to put a deposit down, with 34% citing the rising cost-of-living as the reason it’s become even more difficult to secure their own home.
Other key reasons that renters are not yet on the property ladder include not having to cover maintenance costs whilst living in rented property (20%), concerns that the market might crash (20%) and being able to afford to rent, but not buy in an area they want to live in (11%).
The survey of 2,000 UK adults who are currently or have previously rented was commissioned for NatWest’s bill-splitting app Housemate, which allows renters to seamlessly keep track of shared household expenses and plan for the future.
The results found that a rise in ’generation rent’ gives rise to further issues when it comes to cohabitation – as one in five (16%) renters find it stressful living with other people or have experienced living with ‘difficult’ housemates (17%) – and a quarter (27%) even having to ask their landlord to intervene.
Leaving dirty dishes lying around tops the list of irritating housemate habits, followed by not doing the cleaning and having to be chased for their share of household bills.
The nation’s top 20 housemate gripes whilst renting revealed as:
- Leaving dirty dishes by or in the kitchen sink
- Not doing their share of cleaning
- Having to chase up housemates for repaying shared bills
- Playing loud music late at night
- Hosting house parties until the early hours
- Leaving lights on
- Not taking the bins out or stuffing it until it’s over full
- Not recycling properly
- Eating food in the fridge that doesn’t belong to them
- Leaving the toilet seat up
- Unfairly splitting the monthly bills
- Taking too long in the shower / hogging the bathroom
- Having a partner stay over lots to the point they should also pay rent/bills
- Leaving wet washing in the washing machine
- Smoking
- Leaving possessions in shared space (e.g. hallway, living room) that take up space
- Not paying towards household items that benefit everyone
- Leaving clean washing out on a drying rack for weeks
- Always hogging the TV
- Never taking ownership of the rent or bills
Renters explained that key qualities they look for in a housemate are cleanliness (61%), respectfulness (58%) and responsibility (52%).
However, it’s not just incompatible housemates that are the reason the British public aspire to get on the property ladder - as seven in 10 (70%) adults want to someday have a place they can call ‘home’.
Of those wanting to buy, over half (54%) say it’s because purchasing their own home will be financially better in the long run and over three in 10 (31%) would simply like more space.
The research found over two thirds (67%) of renters that are not yet on the property ladder have been cutting their spending in an attempt to save for a property, while half (52%) have been eating out less – followed by going on fewer holidays, cycling more to destinations or selling personal belongings they no longer need.
Wendy Redshaw, Chief Digital Information Officer of Retail Banking at NatWest said: "Renting with housemates can be a complicated business but splitting bills shouldn’t be part of the problem. With today’s renters potentially being tenants for longer than ever before - we want to help. Housemate is our free app that makes it easier to stay on top of shared household expenses and take the first steps towards owning your own home.”
Launched in 2021, Housemate is NatWest’s free app for renters, which primarily helps renters share household expenses and pay each other back.
The app also helps plan for the future, with a checklist of ways to build credit score and get recognised with Experian for paying rent on time. Upcoming features will focus on helping potential first-time buyers plan for the future and take the first steps towards owning a home.
