Longer commute would stop tenants buying
Three quarters of tenants (76%) would consider buying a property, but not at the expense of their commute, buy-to-let lender Landbay has revealed.
They would consider buying a property if the cost of the mortgage was the same as their cost of rent.
However, on average they would only consider becoming homeowners if their journey time doesn’t increase by more than 17 minutes.
John Goodall (pictured), chief executive, Landbay, said: “The assumption that buying a home is the be-all and end-all for renters is an outdated one.
“In fact, we know that 85% of tenants are happy renting and taking the first step onto the property ladder comes second to the other needs in their life.
“People want their home to be flexible and appropriate to their lifestyle, which in a world of 24/7 working and shorter stints in each job means that renting is a preference, not a second choice.
“For aspiring landlords this research underlines the importance of buying in the right location.
“Being within easy distance of major employment hubs is something that should always be considered in the search for a buy-to-let property.
“Today, the private rental sector more important than ever.
“The number of tenants choosing to rent is only going to increase over the next decade, and as such, the sector must be supported in order to meet this demand.”
The typical commute stands at exactly half an hour, though the most common commute takes 10 to 20 minutes.
Londoners suffer the longest commutes at 40 minutes, while those in the North East brings the average down at just 21 minutes each way.
Just 6% of tenants would buy with no regard to their commute.
Highlighting the importance placed on a good work/life balance, 12% of renters would only buy if it didn’t increase their commute at all and 19% would sacrifice a maximum of 10 minutes.
Overall, only 10% of tenants would tag on an additional 30 minutes or more to their commute in order to step onto the property ladder.