Young Shropshire couples caught in the property trap

Teacher Ash Palin and his partner Jess Fuller are among hundreds of thousands of young people who are giving up the dream of owning their own home.

High house prices and low incomes are seen as strong barriers to getting on the property ladder, according to a report by Halifax.

The proportion of people aged between 20 and 45 who are saving for a deposit to buy their own home has fallen by six percent compared with a year ago, to 43 per cent, according to the Generation Rent report.

Estate agents in Shropshire today said more people who aspire to own their own home are being forced to rent for longer.

Michael Nettleton, director of sales at Nock Deighton estate agents in Telford, said first time buyers needed a "substantial deposit" in order to get a mortgage from banks in the current climate.

He said: "There is a gap between aspiration and when someone wants to buy a home and the reality of when they can afford it.

"The reality is now more towards the age of 30 and the big thing that has changed is that you need a substantial deposit,

"You have to take some of these statistics with a pinch of salt. Buying a house in Shropshire is very doable but now you have to be a bit more organised than in previous years when market wasn't so high. You need more deposit and the banks are a lot more risk averse. House prices are looking steadier year on year and there is great price for the future."

Tom Wright, negotiator for Strutt & Parker estate agents in Shrewsbury, revealed that more people with larger homes were using annexed accommodation to house younger relatives who couldn't get on the property ladder.

He said: "Our rental department has found that more people are deciding to rent for longer.

"Our mortgage advisor says that the mortgage products available are currently more competitive but larger deposits are needed."

Craig McKinlay, mortgages director at Halifax, said there was a need to encourage young people to look at buying their first home.

He said: "While there has been an increase in first-time buyers in the last 12 months, at the same time there is also a growing group of young people who believe they won't be able to get a mortgage.

"The difference between the reality and their perception needs to be addressed urgently if we are to prevent people from giving up on getting on the housing ladder."

The report said this fall "strengthens the view" that more people may be giving up on the idea of owning their own home and are accepting the idea of long-term renting.

Ash and Jess, who are renting a house in Hadley, Telford, say they would like nothing more than to get a first foot on the property ladder and invest in a first home.

The couple, who have been together for nearly three years, have been told they would need at least £10,000 for a deposit – money that, despite their best efforts to save what they can, they just don't have.

"It's frustrating," said Mr Palin, 23, who teaches at Millbrook Primary School in Leegomery, Telford.

"Jess moved up from Essex, where she is from, because the house prices were ridiculously expensive down there. We hoped to be able to buy here.

"We are trying to save. I work full-time as a teacher and I also try and offer tuition at weekends as well when I can for some extra money.

"Jess works in Costa but is also an Avon rep as well so we are both really busy trying to make ends meet."

Jess added: "Our rent is nearly £600 a month, and then you have got bills on top.

"With the best will in the world you try and save, but there is always something that needs paying.

"It might be the MoT is up on the car, or, like a couple of months ago when we had to fork out for a new washing machine.

"We are committed to buying our own house and we certainly won't give up, and we have already said we won't think about starting a family until we get to that stage. It just seems a very long way away."

The Government has introduced schemes such as Help to Buy to try and help people to get on or move up the property ladder with a low deposit.

According to today's report, 53 per cent of people said they believe the scheme has had a positive impact, eight per cent think it has had a negative impact and 39 per cent do not know or are undecided. The three most common barriers to home ownership that people who do not own a property gave were the size of the deposit needed, high property prices and low incomes.

Some 79 per cent of 20 to 45-year-olds surveyed thought banks do not want to lend to first-time buyers.

Alternative figures released by the Council of Mortgage Lenders showed the number of first-time buyers getting on the property ladder last year reached its highest levels since 2007. More than 300,000 people took their first step on the ladder in 2014.

The Halifax report gathered information from more than 40,000 20 to 45-year-olds and 4,000 parents with children aged between 20 and 45.

Shelter director Roger Harding said politicians needed to act to address the crisis.

He said: "Politicians to deliver a big and bold plan that will finally deliver the affordable homes we desperately need."

Star comment - Housing demand not being met:

It's not so long ago that the dream of owning property was within reach for almost all members of society.

A generation ago, new homes were being built, council houses were being sold to tenants and the vast majority of the population could realistically expect to be able to afford their own home.

How times have changed. The proportion of people aged 20-45 who are saving to buy their own home is falling fast and represents just over 40 per cent.

While previous generations grew up believing they would one day own a home, today's teens are growing up believing they almost certainly will not.

Housing has been in crisis for more than a decade.

Prices have risen far beyond the reach of most potential first-time buyers and cohesive plans to re-balance the housing market have not brought about the desired effect.

Our population has grown, we have witnessed the fragmentation of family units and the rise of a category of unmarried single people who wish to buy. Supply has failed to meet demand and there is too little land on which to build.

Whichever party, or parties, are elected to govern, our new Government must address this issue.