With the average price of a home in the capital now costing GBP 526,000, the average Londoner would require a pay rise of 266% to be able to afford to get onto the housing ladder. With the cost of renting rising, it is impossible for many first time buyers to save the 20% deposit most lenders now require.
Millennials are quitting London in their droves, as young people find it much too difficult to live in Britain’s pricey capital.The study, by the Office for National Statistics for The Silvertown Partnership, found that 128,766 people aged 21-40 left London in 2014. This figure is seven percent higher than last year. The number of young people leaving the capital has jumped eight percent in the last five years.Only yesterday it was revealed how shockingly expensive it is for people to afford a mortgage in London.The average home now costs £526,000 in the capital and an income of £120,248 is needed to be able to afford an 80 percent mortgage.