A baby born today could pay £3.4 million for first property

Looking at historic house price data since 1954, there has been an average annual increase of 8.6%. At the current rate of property growth, by the time a child born today reaches the average first time buyer age of 35, the average house price in 2048 will be £3.4 million.

Even children who are ten years old today face paying more than £1.6 million for a property, requiring a deposit of over £320,000, while a child who is currently four years old will most likely need £2.4 million.

Russell Quirk, CEO of eMoov.co.uk said: “Our research shows the staggering truth about the rise of property prices within the UK over recent times. If the trend continues then the bank of Mum and Dad will become even more important for the next generation of homeowners.”