Let’s be honest, deep in our heart of hearts, we know the UK property market is expensive, difficult to get into and all in all just a lot of hard work.

Never has it been so difficult to get onto the property ladder and own your own home. Many of the younger generations are expected to either rent until later adulthood, or even for their whole life.

You may have heard the story that owning your own home is only such a big deal because banks pushed the objective so they could lend people money and essentially earn interest. It was a marketing ploy, and that in the long-term renting is just as cost effective. Well, that may have been true a few decades ago, but not anymore.

Now, renting an average home can cost £800 per month, where the monthly mortgage cost of the same property would be substantially less at around £500-£550 or even less depending on the type of mortgage and whether you are repaying capital or interest only.

Well, for an interest only mortgage, you would be looking at less, between £300-£400 per month, if that. So why would anyone opt to rent a property, throw £800 per month down the drain and get nothing in return, when they could get an interest only mortgage and essentially do the same thing, but when it comes to paying back the capital, they sell their house at the price dictated by inflation and make a profit. Surely if someone can prove their affordability for a property at £800 per month, they can prove their affordability for a mortgage at £300-£400 a month, right?  Well, actually no.

If you have tried to apply for a mortgage recently – and we are talking about brand new, with a brand-new company, no re-mortgaging, no transferring, a brand-new property mortgage – then you will know that the hoops you have to jump through. There are not just affordability checks, but employee reference checks, bank statement checks, character references. If you are self-employed, you need 3  years’ worth of proof of income. Employees need at least a year of work history, proof of permanent contracts etc. Any overtime cannot be relied upon and any commission or incentives again are removed. It almost seems like banks are making it more difficult to get a mortgage.

Anyone who has had there mortgage for a while will know that this is not the way things use to be.

So – purchasing a property in the UK faces hurdles, but what you might not know is that England is now the most difficult place to find a home in the developed world. That’s not our opinion – that is a solid fact. Bad news for UK home buyers all in all looking to get on the property ladder.

How does the UK compare in other areas?

The UK's “expensive, cramped and ageing” housing stock fares poorly compared with other advanced countries, analysis by a thinktank suggests. Households are paying more than other countries – but getting less in return, the Resolution Foundation said.

In all, our houses are smaller, older, in worse condition and more pricey, compared almost every other first world country.

The global average cost of a 2-bedroom flat is £176,000, up 5% from a global average of £167,000 in 2022. The UK was the 19th most expensive place to buy a property, with an average price for a 2-bedroom flat at £263,000. This is 49% higher than the global average across all countries. In fact, London is the most expensive area to buy property in the whole of Europe. Yes – more expensive than the south of France, Marbella, Venice, or any other of the awe-striking destinations you may have visited.

In 2023, it was determined that many Brits were considering moving abroad for a better life. Not only for property, which was however a contributing factor, but for a more stress-free culture, a prettier view and of course the biggest thing we lack – the sunshine.

Other contributing factors include high house prices, soaring rents, housing benefit cuts, a 120% year-on-year rise in evictions, shortages of social housing and a shrinking, volatile, local private rented sector.

Is there ANY good news for us?!

Though things are expensive here, we still have the highest average salary in the whole of Europe. This may be unsurprising considering the prices we have to pay for housing, tax, the cost of living (or surviving for that matter) and yet still more than 7 million adults in the UK are struggling to pay their daily bills.

We can only hope that the new government can help pull us out of this crisis. From the perspective of most Brits, the UK is in a royal mess and our economy desperately needs fixing. This could start with banks being more proactive with awarding mortgages and requiring lower deposits. Renters would be able to buy a home and pay less, meaning more money for the important things like bills. Also, the fact that we pay so much for energy, something that could indeed be controlled as there is no reason for us to be paying so much. In 2022, UK electricity prices soared to 55% above the EU-UK median in the first half and a staggering 93% above in the second half.

All in all, we need a fix.

If you are thinking about selling your house, the idea of using an agent and paying 3%-5% can be daunting. The average Brit needs that money now more than ever. So why not sell with Smart Auction UK. We will sell your property for free. Yes, really! We charge our buyers, who include investors, developers and even banks and building societies. We are revolutionizing the way property is bought and sold and now its time for you to join the wave.

Get in contact with us today to see if we can sell your property for free within 28 days.

Call us or send us an enquiry.