“This survey is a stark illustration of the state of the English housing market. In just ten years, we have witnessed a step-change in the market as the shifting demographics of homeownership and the housing supply shortage redefine what has previously been considered the norm.
“While the housing market and the availability of mortgage finance has improved significantly over the last decade, stricter affordability rules are limiting activity by those who would otherwise be highly leveraged. Coupled with a dearth in housing supply, it means more younger Britons staying in the rental sector for longer periods. Concurrently, rising under-occupation rates show that ageing homeowners are moving less often – whether by choice or constraint.
“This survey points to a chronic housing supply shortage, contributing to an increasingly illiquid market. Home movers, or ‘steppers’, in particular face a number of hurdles including high house prices relative to earnings, stricter mortgage affordability criteria and a lack of suitable homes – holding back housing turnover and transaction volumes.
“The market needs to work for everyone: we look forward to working with the new Housing Minister as he faces the challenge of delivering on the Government’s promises and aspirations for change.”
Notes to Editors
The Intermediary Mortgage Lenders Association (IMLA) is the trade association that represents mortgage lenders who lend to UK consumers and businesses via the broker channel. Its membership unites 39 banks, building societies and specialist lenders, including 17 of the top 20 UK mortgage lenders responsible for more than £200 billion of annual lending.
IMLA provides a unique, democratic forum where intermediary lenders can work together with industry, regulators and government on initiatives to support a stable and inclusive mortgage market. Originally founded in 1988, IMLA has close working relationships with key stakeholders including the Association of Mortgage Intermediaries (AMI), UK Finance and the Financial Conduct Authority (FCA).