Thirty-five per cent of Londoners will take out mortgages in the next three years, research from mform.co.uk shows, with the urge to get onto the housing ladder continuing to take hold of the population in spite of rising house prices.

 

The average price of a property in the capital recently rose over £300,000 for the first time, but this is not set to result in any noticeable downturn in demand, mform figures imply.


Rather, borrowers are instead facing up to higher income multiples, with 11 per cent of Londoners expecting that they will have to take out a mortgage worth four times their salary.

 

This trend is not just confined to the capital – the survey reveals residents from all areas of the country making similar predictions. Six per cent of those in the north-east believe they will have to take out a loan worth five times their income, for example.

 

With so many expecting to enter the mortgage market, the next step for many borrowers will be to consult mortgage brokers over the type of product they want to commit themselves to.