The recession and subsequent recovery didn’t do anything to dampen the spirits of long term home ownership plans in the UK. According to a survey done by the UK Council of Mortgage Lenders 85 per cent of those who responded said they planned on living in a home within 10 years. The same percentage of respondents had an identical answer back in 2007, before the crisis in housing began. Conversely, 70 per cent of Americans think this is a good time to buy a home. Fannie Mae released this data today from a recent survey.
As much as UK residents are hopeful about the long term, they are much less reliant on the short term for home ownership.
Americans are even less hopeful about home ownership, as a recent comment by economists at the Federal Reserve Bank of Philadelphia confirmed. They found that many borrowers feel the costs of ownership outweigh the benefits.
In a recent survey done by Fannie Mae, 33 per cent of respondents said they were more likely to rent than to buy.
Michael Coogan, director general of the CML, believes by the time 18 to 25 year olds go to buy a home it will be a challenging task. He said: “The unintended consequence of regulatory change is that it is going to be permanently tougher for people – especially young people – to fulfill that aspiration, even if they are responsible with their finances.”
A consortium of banks, building societies, and other lenders make up the Council of Mortgage Lenders. A large group, they own about 95 per cent of all residential mortgages within the UK.