Commenting on the housing affordability stats released by the ONS today, Arjan Verbeek, CEO of Perenna said:
“The latest ONS figures indicates a positive shift, with the house price to earnings ratio showing signs of stabilisation, which is a step in the right direction for prospective homeowners. However, the journey towards inclusive and equitable homeownership is far from over. The overall earnings gap is still very high – and it’s almost surreal to see that in the late 1990s, house prices were only roughly 3.5 times more expensive than average annual earnings.
“It’s crucial that we continue to build on this momentum with a focus on creating an accessible housing market that moves away from short-termism and instead welcomes long-term, fixed-rate mortgage products that offer security and affordability to buyers. By doing so, we can ensure that this progress is not a temporary fluctuation, but the beginning of a long-term trend towards a more inclusive housing market. While today’s statistics offer a glimmer of hope, it is the responsibility of the industry and policymakers alike to ensure that this translates into tangible outcomes for individuals and families across the UK.”
