Nearly one in three people who want to buy a home in Great Britain now believe they will never be able to. That figure — 29% of aspiring buyers, according to the Building Societies Association’s latest Property Tracker survey — isn’t just a statistic. It represents millions of adults who have watched the goalposts move further away with every passing year. I’ve been covering UK property and personal finance for long enough to see this pattern harden into something structural, not cyclical. The questions I hear most often aren’t about which mortgage rate to pick anymore. They’re more fundamental: “Will I ever own a home at all?”
The problem isn’t just high prices. It’s the combination of deposit requirements, monthly repayment costs, and a lingering sense that the system isn’t built for first-time buyers anymore. Since the financial crisis, around 2.2 million would-be first-time buyers who might reasonably have expected to own their own home have been locked out. That’s a generation’s worth of people. If you’re in your twenties or thirties and wondering whether the numbers will ever add up, you’re not alone — and you’re not wrong to be sceptical. Here’s what you actually need to know.
What “homeownership dream” actually means in 2026
The phrase gets thrown around a lot, but the core idea is simple: owning the roof over your head, building equity instead of paying a landlord’s mortgage, and having the security that you can’t be asked to leave. For decades, that was the default path for most UK adults. It’s no longer the default. The proportion of 25–44 year olds who feel homeownership is completely out of their reach has risen from 27% in 2020 to 33% today. That’s a shift of six percentage points in just five years.
What I’d say to anyone feeling discouraged is this: the dream isn’t dead, but it does require a different playbook than your parents used. The old advice — “just get on the ladder anywhere” — doesn’t work when the ladder itself has been pulled up in many areas. You need to be more strategic about where, how, and with whom you buy. That might mean shared ownership, a longer commute, or buying with friends. It’s not the dream you imagined, but it might still be a good one.
Why this matters for your finances and future
The consequences of declining homeownership ripple far beyond housing. Renters in the UK now face average monthly rents of £1,381, up 3.5% in the year to April 2026. In England, the average is £1,438. Those figures eat into savings capacity month after month, making it even harder to build a deposit. It’s a vicious cycle: you can’t save because rent is high, and you can’t escape rent because you can’t save.
Consider a typical 30-year-old in the South East earning £35,000. After tax, rent, bills, and basic living costs, they might have £200–£300 left each month. At that rate, saving a 10% deposit on a £300,000 home — £30,000 — would take over eight years, assuming nothing goes wrong. Meanwhile, house prices and rents keep rising. That’s not a motivation problem. That’s a structural one.
What I notice most is the shift in expectations. Almost half of non-homeowners — 44% — say they expected to own by now. That gap between expectation and reality creates real financial and emotional strain. It affects decisions about relationships, children, and career moves. If you’re in that position, the most useful thing you can do is stop comparing yourself to the previous generation and start working with the market as it actually is. A property lawyer can help you understand the legal side of alternative routes like shared ownership or leasehold purchases, which often have traps for the unwary.
Where people go wrong when trying to buy
The mistakes I see aren’t about picking the wrong mortgage rate. They’re deeper — about how people approach the entire process. Here are the most common ones, backed by the data.
Overestimating how much you can borrow
More than half of first-time buyers — 54% — say the cost of monthly repayments is a major barrier. But many people don’t realise how much that cost has changed. Monthly mortgage repayments for an average semi-detached home are up 61%, according to ONS data. A repayment that seemed affordable two years ago may now be out of reach. The fix is to get a real mortgage agreement in principle before you start looking at properties, not after. That way you know your ceiling before you fall in love with something above it.
Ignoring stamp duty until it’s too late
Stamp duty has quietly become a much bigger problem. Over a quarter of buyers — 26% — now say it’s a barrier, up from just 7% three years ago. That’s because thresholds haven’t kept pace with house prices. A £300,000 home in many areas now triggers a tax bill of thousands of pounds, on top of your deposit and legal fees. If you haven’t budgeted for it, you could find yourself short at the worst possible moment. Use a stamp duty calculator before you make an offer.
Waiting for the “perfect” time
Only 17% of people think now is a good time to buy. But waiting for the “right” market conditions can cost you years. Prices rarely fall significantly, and when they do, mortgage availability often tightens. The best time to buy is when you are financially ready — not when the headlines look favourable. That means having a deposit saved, a stable income, and a clear understanding of what you can afford each month.
→ Scroll right to see all columns
| Barrier to buying | Percentage citing it | Change since 2022 |
|---|---|---|
| Raising a deposit | 58% | Stable |
| Cost of monthly repayments | 54% | Up sharply |
| Not being able to borrow enough | 47% | Stable |
| Stamp duty | 26% | Up from 7% |
Not exploring alternative routes to ownership
Many people assume it’s either a standard mortgage or nothing. That’s a mistake. Shared ownership, where you buy a share of a property and pay rent on the rest, is one option. The viability of shared ownership depends on your local market and the specific scheme, but it has helped thousands of people get onto the ladder. First Homes schemes and Lifetime ISAs are other tools worth investigating. The mistake is ruling them out without understanding the trade-offs.
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How to build a realistic plan for homeownership
If the numbers feel overwhelming, the answer isn’t to give up. It’s to break the problem into pieces you can actually control. Here’s a practical framework.
Maximise your savings rate with purpose
The deposit is the single biggest hurdle — 58% of first-time buyers say so. But saving isn’t just about cutting coffee. It’s about using the right accounts. A Lifetime ISA gives you a 25% bonus on up to £4,000 saved per year, effectively free money from the government towards your first home. A Help to Buy ISA, if you opened one before the deadline, still works. Automate your savings so you never see the money in your current account. If you’re serious, consider a side hustle or overtime specifically ringfenced for the deposit fund.
Get professional advice early
Too many people wait until they’ve found a property to talk to a mortgage broker or solicitor. By then, you’ve already lost the ability to plan. A financial advisor can help you model different scenarios — what happens if interest rates rise, how much you need to earn to afford a given property, and whether shared ownership or a longer mortgage term makes sense for your situation. The cost of advice is small compared to the cost of a mistake.
Look beyond your preferred area
The average rent in England is £1,438, but that hides huge regional variation. The same is true for purchase prices. If you’re fixed on a specific city or neighbourhood, you may be pricing yourself out unnecessarily. Look at commuter towns, areas with planned transport improvements, or regions where prices have lagged behind the national average. The shift of residents from city centres to suburbs is a trend worth paying attention to — it often means better value and more space for your money.
Consider co-buying or family support
Buying alone is harder than it’s ever been. Joint purchases with a partner, friend, or sibling are becoming more common. Some lenders now offer mortgages specifically designed for multiple buyers. Family support — whether a gifted deposit, a guarantor mortgage, or a family equity loan — can also bridge the gap. The key is to get everything in writing. A real estate lawyer can draft a co-ownership agreement that covers what happens if one person wants to sell, moves out, or can’t pay their share. That legal step is what turns a risky arrangement into a manageable one.
What’s coming next: policy changes on the horizon
The government’s housing statistics for 2025–2026 are due in June 2026, with interim data expected in late 2026. These will show whether the current policy direction — including planning reforms and affordable housing targets — is actually moving the needle. Early signals suggest that Homes England’s pipeline is increasing, but delivery times remain long. If you’re planning to buy in the next two years, don’t wait for policy to save you. Work with the market as it is, not as you hope it will be.
Is 29% of people giving up on homeownership a reliable figure? ▾
What if I can’t afford a deposit but have a high income? ▾
Does shared ownership actually help, or is it a trap? ▾
How much has stamp duty really increased as a barrier? ▾
Should I wait for house prices to fall before buying? ▾
The dream of homeownership isn’t dead, but it has changed. The path is harder, longer, and less predictable than it was for previous generations. That doesn’t mean you should give up — it means you need a better plan. Start with a realistic budget, explore every option including shared ownership and co-buying, and get professional advice before you commit. The market won’t fix itself, but you can fix your approach. If this was useful, you might also want to read decoding the UK’s property affordability crisis.
Sources and Further Reading
The future of UK urban living — Explores how cities are adapting to changing demographics and housing demand, relevant if you’re considering where to buy.
The dream of homeownership is slipping away for a generation. Building Societies Association, October 2025.
UK housing market overview: rents and affordability. Office for National Statistics, April 2026.
Housing statistics collection. Homes England / UK Government, 2025–2026.
