November 8, 2019
STUDENT ACCOMMODATION – A NEW MORTGAGE MARKET?
Buy for Uni mortgages are now offered by three Building Societies. They allow students to buy a property while at university and pay the mortgage with the rent they charge other students.
Of the 2.3 million students in higher education across the UK, over three-quarters, 1.84 million are students studying on full-time or sandwich courses. The majority require student digs during their studies.
While nearly one in five live at home, 317,300 students, the equivalent to one in six live in their own residence, an additional half million more (531,715) in other rented accommodation. Together these two sectors account for nearly half (46%) of all student digs.
Students can borrow 100% of property value, however the 25% deposit required by lenders is put against their parents’ house and there are limits on the type of property that can be purchased.