Gen Alpha as homebuyers: How much will it cost to buy a house in the UK in 2035 and 2045?
As Generation Alpha (those born between 2010 and 2025) grow up, they’ll face a unique housing market shaped by economic, environmental, and social factors.
Predicting the costs and trends of homeownership for this future generation is no easy feat, but by analysing current trends and expert opinions, we can paint a picture of what Gen Alpha’s property landscape may look like by 2035 and 2045.
What size population will Gen Alpha be?
Generation Alpha is projected to be one of the largest generations in history, surpassing both Gen Z and Millennials. By 2030, there could be nearly 2.2 billion Gen Alphas globally, and in the UK, the population of Gen Alpha is expected to reach around 13 million, according to ONS data.
With this significant size, the demand for housing among Gen Alpha homebuyers will be substantial, making it crucial to understand how housing supply, prices, and availability will evolve over time.
What property trends will Gen Alpha follow?
As digital natives, Gen Alpha will likely place significant value on technology, convenience, and sustainability when choosing homes. One emerging trend that could appeal to them is co-living spaces, where individuals share communal areas such as kitchens and living rooms while maintaining private bedrooms.
Co-living, already popular in some urban areas among Millennials and Gen Z, is forecasted to expand further as cities grow more crowded and property prices rise.
Alternatively, many Gen Alpha buyers may opt for smart, eco-friendly homes with built-in technology that allows for seamless control of home systems. Sustainability will also likely drive preferences for energy-efficient buildings, with solar panels, green roofs, and low-carbon construction becoming more common, as outlined by the Royal Institute of British Architects.
Regional trends: How will climate change shape housing?
One important factor that may differentiate housing trends across the UK is climate change. The North of England, for example, may face cooler and wetter conditions, while the South could experience more heatwaves and droughts, as predicted by the Met Office.
This will likely influence housing design and construction materials, with more emphasis on flood-resistant features in the North and heat-adaptive homes in the South. Developers may also need to adapt infrastructure and public spaces, increasing green areas and implementing more resilient building technologies.
How much will it cost to buy a home in 2035 and 2045?
Projecting future house prices is complex, but experts suggest that prices will continue to rise, though at different rates depending on the region.
By 2045, the average cost of a house in the UK could be upwards of £360,000, and prices in London could exceed £750,000, according to Yahoo Finance.
This would mean that first time buyers in Gen Alpha might need a deposit of around £100,000 by 2035 and £150,000 by 2045 — well beyond the reach of many without significant financial support or saving plans in place from an early age.
What do Gen Z and Millennials believe the housing market will look like in 10–20 years?
When asked about the future of housing, both Gen Z and Millennials express concerns over affordability and availability. According to a YouGov survey, many Millennials, who already struggle with property prices and high deposits, fear that without significant reforms, Gen Alpha will face even more difficult conditions.
Gen Z echoes this sentiment, anticipating that the next decade will require flexibility, with many considering renting or alternative housing arrangements like co-living as long-term solutions rather than just temporary fixes.
What advice does the current homebuyer generation have to offer?
Start saving early: Saving for a house deposit will be more important than ever and starting early could make a significant difference. Financial education should be a priority for Gen Alpha, ensuring they understand mortgages, interest rates, and the importance of building credit.
Consider location flexibility: While large cities may continue to be expensive, looking at homes in smaller towns or more rural areas could be a cost-effective solution. With the rise of remote work, Gen Alpha may have more flexibility in where they choose to live.
Think long-term: Sustainable homes are not just a trend; they are the future. Investing in a home that is energy-efficient and climate-resilient may save money in the long run and protect against rising energy costs, as highlighted by the World Green Building Council.
Embrace new housing models: Co-living, Shared Ownership, and Rent to Buy schemes could offer affordable paths to homeownership for Gen Alpha. Understanding these options early on will help them navigate an ever-changing housing market.
At Share to Buy, we make your choice easier with a selection of new-build homes across England, available through alternative homeownership schemes such as Shared Ownership. Start your home-buying journey today using our property portal.
