Housing market accessibility 'declined by 351%'

Accessibility to the housing market has declined by 351 per cent since 1996, according to figures from the Royal Institution of Chartered Surveyors (Rics).

The organisation said that at present a couple on a lower quartile income (£26,595 after tax) would have to pay 104 per cent of this (£27,729) just to meet the start-up costs of getting on the housing ladder, such as the deposit, fees and stamp duty.

In 1996 the figure was only 23 per cent.

Rics added that a couple on such an income had to pay 40.3 per cent of it to service the mortgage payments.

Senior economist David Stubbs said the situation was "unlikely to get better in the short term" due to the high deposits many lenders have imposed after the credit crunch.

Many of those hoping to get on the housing ladder may consider the self build option as an alternative in such circumstances.

Earlier this month the Times reported that self building a home tends to cost between 20 per cent and 30 per cent less than buying it ready-built.


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