Nearly half of renters would buy a home immediately if their monthly mortgage payments were the same as their rent, according to research from Mortgage Advice Bureau (MAB).
The research found that 47% of renters would buy tomorrow if mortgage repayments matched what they currently pay in rent.
Mortgage Advice Bureau said the findings pointed to a shift in how aspiring homeowners assess affordability, with monthly costs increasingly influencing decisions alongside deposit requirements.
The research also found that 31% of renters said the possibility of paying the same or less than rent was one of their biggest motivations for buying a home.
MAB said the findings suggested that, while demand for homeownership remained strong, many renters were being held back by the perception that buying was significantly more expensive than renting on a month-to-month basis.
Despite affordability concerns, the desire to own remains strong. The research found that 41% of renters wanted the freedom to decorate or own pets, while 37% were focused on building long-term wealth.
Only 17% cited flexibility as a key benefit of renting, which MAB said showed that, for many, renting was not a long-term preference but a position shaped by affordability perceptions.
Rachel Geddes, strategic lender relationship director at Mortgage Advice Bureau, said: “For many renters, the key calculation is no longer just the deposit – it’s whether the monthly mortgage payment could match what they already pay in rent.
“What we’re seeing is a shift in mindset, with buyers increasingly focused on their monthly outgoings and whether homeownership feels manageable in the context of their current finances.
“Without clear comparisons between renting and owning, it’s easy for many to assume that buying is out of reach. Digital tools such as our affordability calculator can help give buyers a clearer idea of what they may be able to borrow and what their monthly payments could look like.
“With the support of an expert mortgage adviser, understanding what’s possible – particularly in terms of monthly costs – can be the difference between holding off and taking that first step onto the property ladder. For many, that clarity could be the ‘sign’ they’ve been waiting for to kickstart their homebuying journey.”
Carlo Pileggi, head of mortgage products at Nationwide, said: “As this research shows, when renters realise that mortgage payments could be comparable to what they already pay each month, homeownership can suddenly feel achievable – and renters might be surprised at how much they can borrow and how the monthly costs compare to their rent.
“At Nationwide, we’ve continually focused on giving first-time buyers a helping hand to tackle the affordability challenge. By enabling prospective homeowners to borrow more, we’ve been able to help them turn long-held homeownership aspirations into a realistic and affordable route onto the property ladder.
“Using online affordability calculators and seeking expert advice will help a lot of renters see that buying may not be as far off as they think.”
