Moving out of your parent's house is a big step for most young people, with many counting down the days until they can claim some space to call their own.
However, according to new research by Landbay, this goal is slipping further and further away from many young people, with those attempting to live alone now looking at having to spend more than two-thirds of their monthly take-home pay on rent!
The latest Landbay Rental Index has revealed that the average rental payment comes in at £1,322 a month for a one bedroom property. The average wage for 18-30 year olds is £1,447 a month after tax, so a tenant who is looking to shoulder the cost alone would be spending 69% of their monthly earnings on rent.
If a tenant is happy to share with just one house mate, the percentage of their wage that they will be shelling out drops significantly – down to 39% for a two-bedroom property. With two housemates it becomes even more affordable, only spending 30% of their wages to call part of a three-bedroom place home.
As well as the hefty rental costs putting the brakes on more young people being able to make the leap from living at home to privately renting, it also means that once they have made the jump, it becomes increasingly tricky for them to save for a property of their own, leaving many caught in the rental market longer that they’d hope to be.
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