Where Are the Youth?
For young people in London, the prospect of purchasing a home in this market can seem daunting — if not outright impossible. Yet, Nick Millican argues, it is young people that power the economies of many metropolises, including London. And, like previous generations, within the housing industry, they should be given the opportunity to at least attempt to purchase a home in the city. What was once an attainable dream, however, seems unbelievably challenging now.
During a recent survey, Nick Millican shares, seven out of 10 people — who had never owned homes before — wanted to be homeowners; however, a whopping 52%t of those potential first-time homebuyers expect that they will not be able to achieve their ultimate goal. Although London home prices fell a bit last year, they are steadily rising once again.
For young people who want to get their foot in the door, it is not surprising to see so much pessimism. Nick Millican has alluded to the fact that the city needs to find new and enterprising ways to address this issue; otherwise, he fears that the absence of young homeowners could lead to a “brain drain” in London.
With young people often serving as the motor of any economy, this is a concerning prospect. The expert theorizes that there will need to be some kind of change in the housing culture in order for this to happen. Although Nick Millican believes that such a transformation may take place very slowly, he does believe that it is possible.