Four in 10 renters said that they would consider moving back in with their parents in order to help save for their first home, research from Skipton Building Society has revealed.
The research found that the biggest hurdle to the property ladder for many first-time buyers was affordability, not only in saving for a deposit but the overall costs associated with buying their first home.
The poll of 2,000 renters found that, while 52% of those considering moving back into their family home felt that it would be a move backwards, 91% said it would be a short-term sacrifice for a long-term gain.
22% estimated that if they were to make the move, they could have enough saved within a year for a house deposit.
However, for more than one in five (22%), this would not be an option – and 69% would not want to be a burden on their parents.
The research followed rental data from Hamptons, part of the Skipton Group, which revealed that the average rent paid by someone leaving the parental home passed £1,000 per calendar month (pcm) for the first time in 2023.
Which means the average would-be tenant who didn’t fly the nest would have the opportunity to save up to £12,290 if they could live rent-free with parents for a year.
Jennifer Lloyd, head of mortgage products and proposition at Skipton Building Society, said: “People trapped renting is one of the biggest housing challenges we face across the country, which is having a massive impact on the fabric of our society.
“With escalating rents and the cost-of-living squeeze further impacting people’s ability to save for a house deposit – it’s making it almost impossible for people get onto the property ladder so it’s no wonder we are seeing a rise in the number of tenants considering a move back home.”
She added: “For those fortunate and willing to make this move, then it might be a vital first step in helping them to boost their savings.
“However, as the research reveals, we know for many tenants, this isn’t option for them.
“And this is why it is important renters have more options available like the Track Record mortgage for them to buy a home when building a deposit isn’t an option.
“We want to empower more renters to achieve their home ownership aspirations sooner, without the help from the ‘hotel of mum and dad’ or ‘bank of mum & dad’ too.”
