As the cost of living soars throughout the UK, the demand for “average-priced” homes has dropped dramatically in the last year, as real estate expert Nick Millican explains. The average cost of living is increasing, which means that families have less to spend on housing.

In addition, they are spending more on other things like household products and food as well as transportation, Nick Millican adds. The soaring interest rates are also making it harder for average families to be able to afford larger homes, as they are paying more in interest and less in principal on the home they purchase.

The average asking price of a house in the summer was about 685,200 pounds in the UK. The buyer interest in these priced homes are down 65%, Nick Millican reports. Wages are not keeping up with the increased costs of living, and therefore the demands for homes are dropping as buyers cannot afford to purchase the home they could afford before. 

Buyers are being squeezed harder than ever to afford the same homes they would have bought comfortably in the past. There are now more multi-home offers on one-million-plus pound homes, as more of the wealthy are buying more real estate. And this is something that real estate agents such as Nick Millican have to deal with on a daily basis.

This means the average United Kingdom citizen can’t afford to purchase the same things they were able to afford years ago. Wages are not keeping up with interest rates, and interest rates are causing a lot of the United Kingdom citizens to struggle to afford adequate housing. Nick Millican finally comments that the housing market is feeling the pinch, and many sellers are struggling to find someone who can even afford to buy their home in the first place.