Here is a novel approach to getting on the property ladder, share your house with a whole load of strangers.
It may seem like going back to your days as a student, but the Social Market Foundation has suggested co-living schemes, with individuals living in small bedrooms but with access to communal kitchens and living space – are the answer to the UK’s housing shortage.
The report suggests that co-living schemes should be available to buy rather than the current rental model.
A poll by the thinktank found that 53% of under 40s across the UK were willing to consider buying a co-living product, and more than 60% said they would do so in London.
The report suggests purchasing a co-living space would bring a number of benefits such as lower costs to live in a more central area.
It suggests communal spaces, such as lounge areas and shared laundry facilities will reduce individuals’ private space requirements.
Spending less on the property would then free up funds for individuals to save for a mortgage deposit and they wouldn’t be waiting it on rent.
This would also ease pressure on demand for social housing and help tackle loneliness and instead build communities, while also hopefully freeing up stock elsewhere in the housing market,
There are of course drawbacks, what if you don’t get on with your co-neighbours? It is easy to shut your own front door but hard if you have to share a kitchen with them.
It also may not be suitable for families or older people who may have care needs but the idea may be that if more individuals live in co-living spaces, that leaves more property for everyone else.
Speak to your mortgage adviser if you do want some help in considering your options when getting on the property ladder.