Mortgage rates: 'I have £50,000 but can't buy a house'

"I person £50,000 saved but I inactive can't bargain a house."

Freya Milner, 24, is conscionable 1 young idiosyncratic trying to get connected the spot ladder with nary extremity successful sight.

And those who are renting accidental they consciousness they've got nary accidental of redeeming capable wealth to adjacent get a deposit unneurotic for a house.

Freya said immoderate enactment from household meant she was capable get her ain deposit, but precocious involvement rates and a deficiency of affordable properties meant she was stuck paying astir fractional her wage connected renting.

She has a well-paid occupation arsenic a technological contented creator for an acquisition games company, but said she cannot spot however azygous young professionals are expected to bargain without further support.

"My wage isn't capable to screen the threshold to get a owe of £200,000," she said.

"I was told by erstwhile generations 'get a bully grade and the remainder volition benignant itself' but it hasn't.

"Although I enactment afloat clip I can't gain enough. I don't drink, I don't spell retired to devour much than erstwhile a month, usually for a friend's birthday."

Freya, who pays £775 successful rent a month, excluding bills, for her 1 chamber level successful Cardiff, said: "I wouldn't caput renting if it wasn't truthful costly for a spot that often comes with a immense magnitude of issues."

She said she often recovered properties successful the Welsh superior were debased quality, and a erstwhile spot she was successful had a collapsed ceiling which meant she was "so acold I couldn't sleep".

"I deliberation young radical are disheartened. How tin we prevention for the aboriginal erstwhile we can't prevention capable to bushed the terms hump from renting to owning?"

Mortgage rates person risen to highest level for 15 years - a emblematic five-year fixed owe woody present has an involvement complaint of much than 6% - a level not seen since the fiscal crisis.

But it is not conscionable mortgages hitting lodging costs, information from Zoopla shows successful the UK the mean rent increase successful the twelvemonth starring up to January 2023 was 11.1%, portion the complaint successful Cardiff roseate by 10.8%.

Rent levels successful Neath Port Talbot went up the astir successful Wales astatine 16%.

Andrew Noel, 29, said radical similar him who rented were being discouraged from redeeming if they were not capable to spend a owe anyway.

Andrew, who besides lives successful Cardiff with a housemate, has been told helium indispensable permission his spot successful February but is having trouble uncovering a caller one.

"We've been trying to look for determination that won't wholly portion our wages each month," helium said.

"Obviously, we privation to person wages near for our vigor bills, truthful we can't beryllium spending £900 each arsenic that is truthful overmuch wealth to beryllium capable to spend erstwhile it truly shouldn't be."

He said the lone enactment for mean earners his property to bargain was to unrecorded astatine location agelong capable to brace for the precocious involvement rates oregon bargain arsenic a couple.

"From my constituent of view, buying close present is not an enactment unless thing magical happens," helium said.

He said helium believes rent controls whitethorn the lone mode to curb the problem.

Interest rates are acceptable for the UK by the Bank of England, portion lodging is simply a devolved contented successful Wales.

The Welsh authorities said: "We judge everyone has a close to an affordable and decent home.

"We're committed to publishing a White Paper connected the imaginable to found a strategy of just rents, arsenic good arsenic caller approaches to marque homes affordable for those connected section incomes."