Almost a third of tenants are now in their later thirties and forties, it has been revealed.
This is the largest age bracket among tenants today, as people struggle to get onto the property ladder and are forced to rent instead.
The findings by estate agent Knight Frank suggested it’s no longer those aged between 25 and 34 who make up the largest group.
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Instead, the biggest group is the 32.3 per cent aged between 34 and 49, and this age bracket is expected to show the biggest growth in the next few years.
However, right now it’s only marginally higher than the 31.5 per cent of tenants who are aged between 25 and 24.
In the other age groups, only 11.8 per cent of tenants are under 25, while 15.9 per cent are aged between 50 and 64.
The smallest group is over 65 years old, making up 8.4 per cent of all tenants.
Saving for a deposit
People are continuing to rent as they get older because they can’t afford to raise a large enough deposit to buy a place of their own.
This is potentially good news for landlords, who stand to benefit from tenants needing to rent their homes for longer.
Main priorities for tenants
The research found that cost was the main priority for 61 per cent of tenants when it came to choosing a property to rent, followed by its location (23 per cent) and its size (10 per cent).
Tim Hyatt, Head of Residential Lettings at Knight Frank, said: “Once again, affordability has emerged as a key reason for people choosing to rent in order to live in an area where they would not be able to buy.”
“However, average rents in Britain rose 1 per cent in the 12 months to December as more landlords leave the sector and levels of stock decline.
“The tenant fee ban, which comes in into effect in June this year, may also result in some landlords increasing rents to offset any extra costs.”
The lack of mortgage deposit is the main reason for renting, although this ranges from 71 per cent for young families to 41 per cent of so-called iGens who are aged under 25.
On average 69 per cent of tenants still expect to be renting in three years’ time, rising to 93 per cent for so-called Baby Boomers aged above 65.
Average tenant incomes
For landlords concerned about a tenant’s ability to afford the rent, it might be worth considering that nearly 40 per cent of tenants have an average net monthly household income of between £1,000 and £2,000, according to the research.
However, average household incomes vary widely between tenant groups.
So-called nesters – couples aged between 25 and 49 – have the highest average household incomes.
Older groups tend to have larger assets than younger groups, although there may be cases where their income is smaller due to being in retirement, the research revealed.