Greycoat Real Estate Offers Analysis on Low-Income London Families Paying Higher Rent
Greycoat Real Estate Offers Analysis on Low-Income London Families Paying Higher Rent
Greycoat Real Estate knows that it is no secret that the London housing crisis is still raging out of control. Rents are going up every year and the price of owning a home is just as bad. These two situations are very closely related for reasons we’ll get into in just a moment. What’s important right now is to acknowledge the suffering that lower-income families are dealing with during this crisis.
According to Greycoat, the NSO has declared that people in London should not be paying above 30% of their income for housing. However, that limit was surpassed years ago and today people are paying an average of 35% for housing. Even so, Greycoat adds, that number can be a little misleading since it takes into account the ultra-wealthy. When that fact is taken into account, it was revealed that low-income families are paying 46% of their income to cover housing costs.
Why Housing Costs are Rising
The Greycoat Real Estate agency knows that to understand why the poor are getting the short end of the stick here it is important to understand why housing prices are going up, to begin with. The thing is, most people can’t afford to purchase housing in London anymore because property prices are going up. This is driving more people to rent housing instead and with greater demand comes bigger prices.
Greycoat Real Estate has watched with great concern as this feedback loop has had a disastrous impact on lower-income families. While the situation has to get better at some point, there is no telling how long it will take for prices to come down to reasonable levels again.