11th November 2013
Almost a third of Britons are overstretching themselves when it comes to paying their mortgage or rent a survey for BBC Panorama found.
The study found that 31% of people paying a mortgage or rent spend more than a third of their disposable income each month in doing so.
The survey of 1,003 people also suggests 46% of people think property prices are too high in their area.
According to charity Shelter, spending more than a third of your disposable income on rent or a mortgage means you may not be able to afford other basic needs.
Speaking to the BBC chief executive of Shelter, Campbell Robb said: “The widely accepted test of affordability is that housing costs should take up no more than a third of your income.
“But in reality, many families do not have any option but to pay out much more.
“This sees some faced with impossible choices every day – including between putting enough food on the table or paying for the roof over their head.”
The Ipsos MORI survey commissioned by Panorama surveyed a total of 1,003 adults – of who 697 pay a mortgage or renting a property.
The survey also found that 46% of respondents believed property prices are too high in their area and 39% would like to see property prices drop.
Back in August, official numbers from the Government said the average price of a property had reached a record high of £247,000.
The figures also show that home ownership hit a high at 69% of households some 12 years ago. Since then it has reduced to 64%.
Panorama: The Great House Price Bubble? is showing on BBC 1, Monday 11 November at 20:30.