Home » News » Rental market » Number of middle-age renters soars by 70% in just 10 years
Rental market

Number of middle-age renters soars by 70% in just 10 years

Percentage of older tenants is also on the increase, with the number of over-65s increasing by 38% over the same period.

Richard Reed

The number of middle-aged households privately renting has rocketed by 70% in just a decade, according to new research.

The number of households in England where the main tenant is aged between 45 and 64 has risen from 691,000 in 2011 to 1.18 million in 2021 – a 70% increase.

Meanwhile the number of renters who are over-65 has soared by 38%, while the number of those aged from 34 to 44 has increased by 21%.

The figures have been published in a new report by Paragon Bank, which reveals that while the desire to own a home is high in the 45-64 age group, buying power is limited.

Nearly half (47%) in this age bracket want to buy, but only 19% are actively saving to do so.

Of the 19% actively saving to buy a home, 25% have finance in place and are searching, with 4% in the process of purchasing. The remainder (71%) are in the savings phase.

Income is a big issue, affecting the ability of tenants to save for a deposit.

Over-45s

Just 14% of those in the 45-64 age bracket have an annual income in excess of £50,000, with a quarter earning less than £10,000 per year and a similar number earning between £30,000 and £50,000.

Another insight from the research is that renters over 45 have typically been renting for longer, lived in more properties and tend to stay longer in the same home than younger tenants.

More than a fifth of those aged between 45 and 64 (22%) have lived in privately rented accommodation for more than 15 years, with a further 17% having done so for between 11 and 15 years.

“There is a perception that the private rented sector (PRS) is home to the young when, in fact, over half of tenants are aged over 35 and the greatest increase in the number of households is in the middle-aged 45 to 64-age bracket,” said Richard Rowntree, Paragon’s Managing Director of Mortgages (pictured).

“Too much policy focus is on getting younger tenants on the housing ladder. Whilst this is important, the government should also consider the need to provide a home to older tenants who live in the PRS for the long-term.”

December 6, 2022

What's your opinion?

Please note: This is a site for professional discussion. Comments will carry your full name and company.

This site uses Akismet to reduce spam. Learn how your comment data is processed.