Saving for a house deposit ‘impossible’ in borough
SAVING for a house deposit in Hillingdon is now ‘impossible’, according to new figures.
It now takes more than 14 years to save for a deposit in the borough and the average person saving for their first home is now further away from a deposit than they were this time last year – in spite of a year of saving.
House prices are racing away at such a rate that the money required for a deposit is growing annually by more than can be saved in a year, more than a year more in Hillingdon.
The research comes from the office of Tessa Jowell, who is running to be Labour’s candidate for Mayor of London.
She said: “London’s housing crisis has spun so far out of control it is becoming literally impossible to save for a deposit in Hillingdon.
“We cannot go on like this. Solving the housing crisis is the number one challenge facing this city and will be my top priority if I’m elected mayor.”
The median house price in the borough is £305,750 with median earnings of £30,076, which means that it now takes 14 and a half years to save for a 10 per cent deposit on a house. In the rest of London, the number of years it takes for first-time buyers to save enough to put down a deposit has gone up by more than one year in the last 12 months.
In other words, any money saved over the year would effectively have been eaten up.
Ms Jowell added: “We have to start building the homes we need, that’s why on my first day in City Hall I’d establish Homes for Londoners to get London building again, starting on the Mayor’s own land. And I’ll help first time buyers afford their first home without the need for enormous upfront deposits by building rent-to-buy homes, which will turn rental payments into a contribution towards a deposit.
“Every Londoner should have a place to call home – that will be my goal as mayor.”
n MAYORAL CANDIDATE: Tessa Jowell (right) says London’s housing crisis has spun out of control