Potential first-time buyers 'will have to continue renting'

Posted: 28 Jan 2011 12:53:57 GMT

Some Britons who are keen to get on to the property ladder will have to continue renting, an expert claims.

Many people who want to make their first step on to the property ladder will have to rein in such dreams for now.

Such is the assertion of Hannah Maundrell, money.co.uk's head of content, who says the mortgage market is still not fully accessible for some renters.

And the ability to save up for a mortgage could further be hindered after a recent Paragon Mortgages report revealed 41 per cent of landlords intend to increase rents by at least four per cent this year.

"I would advise anyone concerned about the increasing cost of rent to look at their contract and their rights as tenants. Rent rises are not necessarily a foregone conclusion," she advises.

The cost of renting may also increase because such accommodation is currently high in demand, with fewer properties available.

Indeed, the survey by Paragon Mortgages also discovered that 45 per cent of landlords think tenant demand will increase over the coming months.
 

© Houseladder Ltd