The Housing Crisis: A Barrier to Adulthood for Millennials

Strategic Insights -

Millennials are increasingly facing a tough decision between buying a house and getting married, with the housing crisis making it difficult for young couples to achieve the security of homeownership. This is leading to a delay in starting families, with the average age of mothers approaching 31 and fathers slightly older. The housing crisis is not only affecting individual families but also has long-term consequences for the affordability of public services.

Key Takeaways:

  • The average age of a first-time buyer in England is 32, with 26% of first-time buyers being single-person households and 68% being couples.
  • In 2023-24, only 21% of first-time buyer couples had dependent children, suggesting that many couples prioritized homeownership before starting a family.
  • The fertility rate in England and Wales dropped to a record low in 2023, with the average age of mothers approaching 31 and fathers slightly older.
  • Britain has just 446 homes per 1,000 people, resulting in a shortfall of 6.5m homes compared to comparable European neighbours.
  • The housing crisis is not only affecting individuals but also has long-term consequences for the affordability of public services.
  • A cash gift towards a deposit is becoming a common wedding gift, as young couples prioritize saving for a home over buying wedding gifts.

Statistics:

  • 26% of first-time buyers in England are single-person households (Figures from 2023).
  • 68% of first-time buyers in England are couples (Figures from 2023).
  • Only 21% of first-time buyer couples in 2023-24 had dependent children (Figures from 2023-24).
  • The average age of mothers in England and Wales is approaching 31 (Figures from 2023).
  • The fertility rate in England and Wales dropped to a record low in 2023.
  • Britain has just 446 homes per 1,000 people, resulting in a shortfall of 6.5m homes compared to comparable European neighbours (Source: Thinkhouse, cps0725.pdf).

Sources:

  • Figures from 2023, cited in the article.
  • Britain has just 446 homes per 1,000 people, resulting in a shortfall of 6.5m homes compared to comparable European neighbours (Thinkhouse, cps0725.pdf).
  • https://www.cityam.com/people-and-organizations/london-housing-crisis/.