Renters remorse as new figures show owning your own home is cheaper

Posted on March 19th, 2014

Lets be honest, the last five years have been pretty uncomfortable whether you have been a buyer or seller with the market stagnating and competitive mortgages becoming hard to come by. Latest statistics have indicated there is now a consistent growth in the housing market encouraged by a number of factors including the costs of owning a home being lower than the cost of renting.

A new report from Halifax bank , the UK’s largest provider of residential mortgages, stated that the average costs of owning a 3 bed property were 16% lower than renting based on figures from December 13. A typical monthly mortgage payment for this size property was £645 compared to a typical monthly rent of the same size property of £769. This is a marked change from figures back in 2008 which show how owning your own home costed 31% more than renting the same property.

Industry expert and Halifax MD said: “There has been a substantial improvement in the affordability of owning compared to renting in recent years. Buying will continue to be a more financially attractive option as the cost of owning a home remains stable. With greater availability of mortgages that require smaller deposits, the property ladder has also become even more accessible for those who can afford the monthly costs of owning but had previously not been able to save the necessary deposit.”

As mortgages have become more competitive and government schemes such as ‘Help to Buy’ have made deposits more achievable, there has been a rise in new buyers and as a consequence the housing market is experiencing healthy growth.

Don’t miss out on your chance to own your own home. Take advantage of the current government schemes available or talk to one of our financial advisors and see if you could be one of the new buyers mentioned above paying less for your home than when you rented. It makes financial sense. At Seddon Homes we have a number of beautiful, contemporary developments with 2, 3 and 4 bed new homes to suit any income so explore the website and call one of our advisors on 01925 839500 to book your viewing of one of our stunning show homes.

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