Parents fear children will need their aid to buy home

TWO-thirds of parents fear their offspring will not get on the housing ladder without help from “the bank of Mum and Dad”, a new poll reveals.

David Orr, chief executive of the National Housing Federation

According to the YouGov survey, 81 per cent of parents in England of children 18 and under are worried about the impact of rising house prices on the next generation.

Of them 69 per cent believe they will only get a house with their financial support – with a quarter of parents saying they are already saving up.

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The National Housing Federation, which commissioned the research, predicts that by 2020 3.7m young people will be living with parents and by 2030 house prices will soar to 13 times the average salary.

Although Hull is the only city in Yorkshire where house prices are still less than four times the average local salary, buying a home is still out of reach for many.

Jeremy Wong, the managing director of Cody’s estate agents, said: “Although you can still get a two up two down for £52,000 it would put someone on minimum wage at the every edge of buying capability.

“House prices to an extent are being constrained in Hull by low wages.”

Mother-of-three Toni Longley, who owns a hairdressing salon in Hull, said: “I do make an effort to put a bit of money aside for my children, but I worry that I won’t be able to help each of them with housing costs in future.”

NHF chief executive, David Orr said: “Parents are feeling the pressure to foot the bill to safeguard their children’s futures but they don’t feel any of the mainstream political parties are tackling housing issues.

“We need the Government to take action to end the housing crisis within a generation, for the next generation.”

The survey comes as TUC research shows that the affordability gap is growing ever wider, with homes in previously affordable areas, like Bradford and Rotherham, now at least five times the average wage. In June banks were ordered to limit “riskier” loans of more than four-and-a-half times a borrower’s income.