Propertymark: High Costs Deter UK Property Buyers
Propertymark states that rising mortgage rates and moving costs prevent many prospective buyers from entering the UK property market, despite new affordable housing supply.
Propertymark has highlighted that the construction of more affordable homes does not automatically translate into an increase in the number of active buyers in the UK property market. The industry body notes that structural financial barriers remain the primary obstacle to market participation for many prospective purchasers.
Specifically, rising mortgage rates and increased deposit requirements continue to prevent many individuals from entering the market. These financial hurdles are compounded by the wider costs of moving, which further restricts affordability for potential homebuyers.
The association argues that while supply-side measures like building affordable housing are important, they fail to address the immediate demand-side constraints. Without a reduction in borrowing costs and transaction expenses, the intended boost to buyer numbers may not materialise.