Insurers should be concerned that younger consumers are giving up on owning property. Not just because homeowners are more likely to take out life, building and contents cover, but ownership of stuff in general is being replaced by a rented lifestyle. Those who own nothing, tend to shy away from all insurance.
New research from Engen Group, the UK based innovation and property business focusing on addressing environmental challenges such as affordable and sustainable housing, reveals that only 63% of people who don’t currently own a property want to buy their own home in the future.
One in four (23%) do not want to own their own home, and 14% are not sure.
Of those that don’t want to own their own home, 52% say it’s because they prefer to rent, and 28% say they used to own property but would now prefer not to now. A further 14% say it is too expensive to buy, and 7% think they are now too old to do this.
Of those adults currently living at home with family, 32% say its because they can’t afford to move out, but one in five (21%) say they have no desire do to this. Some 19% say they are only living with family members on a temporary basis as they are saving for something specific such as deposit for a house or to go travelling.
Graeme Boiardini, CEO of Engen Group said: “Our research shows that not everyone who currently doesn’t own their own home wants to in the future, with many preferring the flexibility of renting. However, there are still many who want to get on to the property ladder but can’t because of the cost. Sadly, some people also seem to have given up because of their age, believing they have left it too late to secure a mortgage, for example.”