Halifax’s January figures showed house prices reached a record high of £299,138, impacting financial resilience, according to Hargreaves Lansdown (HL).
Renters have an average of £62 left at the end of the month compared to £309 for those with a mortgage.
Gen Z and Millennial buyers have £271 remaining each month, while only 46% of renters have adequate emergency savings.
Sarah Coles, head of personal finance at Hargreaves Lansdown, said: “When house prices hit a record high last month, homeowners felt a little bit richer, and slightly smugger.
“Rising prices tend to boost confidence, making homeowners feel more confident about the future.”
Coles added: “In reality, however, rising house prices are taking a horrible toll on our finances. It’s bad news for anyone struggling to buy, or trade up to a bigger home.
“And it’s devastating for those who realise they’ll never be able to afford a home of their own.”
Coles added that higher prices present a major obstacle for potential buyers, as they must raise large deposits while meeting strict affordability criteria.
She noted that city dwellers are less likely to be on track with property ownership than those in rural areas, only 54% compared to 68%.
This lack of resilience leaves renters paying high rents indefinitely, with minimal monthly savings and inadequate emergency funds.
Helen Morrissey, head of retirement analysis at Hargreaves Lansdown, said: “Today’s huge house prices are having a massive impact on our financial resilience for tomorrow.
“High rental prices take a chunk out of people’s day-to-day budgets, and this leaves them with less left over to either save for their first home or for their retirement.
“It’s the main reason why renters are one of the key groups falling behind in the race for retirement resilience.”
Morrissey added: “According to HL’s Savings and Resilience Barometer, only 16% of renters are on track for a moderate retirement income.
“This compares to 52% of homeowners. Struggling to get on the property ladder does more than impact your resilience in the here and now.
“If you are still paying housing costs into retirement, then this means you need to have even more set aside to meet these needs.
She said: “It’s basically a case of the people with the least amount of money needing to save the most and it’s going to be a challenge too far for many.
“Some will receive help from family to plug the holes in finances caused by housing and pensions.
“This could come in the form of day-to-day support or through inheritance.
She added: “However, not everyone can count on this. It’s important to make the most of any help on offer.
“If you are aged under 40 then you can make use of a Lifetime ISA.
“You can make contributions of up to £4,000 per year and receive a 25% Government bonus.
“Over time, it can go a long way to help you build up a deposit to help you on the housing ladder and you may even decide to keep it to help you with your retirement saving too.”
