A number of UK motorists are now prioritising buying a set of shiny new wheels instead of a house, a new report finds.
Over a third of UK drivers told Auto Trader that buying a brand new car is now a bigger milestone than purchasing a property, mainly because it’s more attainable.
This comes as the rising prices mean the prospect of becoming a homeowner is more unreachable for many Britons.
Achievable dream: Over a third of UK drivers told Auto Trader that buying a brand-new car is now a bigger milestone than purchasing a property, mainly because it’s more attainable
Yearly rise: Nationwide recorded a year-on-year house price rise for the first time in 13 months
Out of 2,032 UK drivers surveyed that had previously bought or owned a brand new car with no previous owners, 35 per cent said they were prioritising saving for a car hot off the assembly line, rather than buying a home.
That attitude is especially prevalent among 18-29 year olds and Londoners, two groups hit hardest by rising house prices.
Over half of respondents from both groups (52 per cent of 18-29 year olds and 55 per cent of Londoners) are now opting to save for the keys to four wheels, rather than four walls.
While house prices fell slightly at the start of this year, the average home will still set you back more than £280,000 according to the latest official figures.
What are the most popular new cars?
The change in buying and saving habits coincides with Auto Trader’s list of most popular new cars in March, with the Land Rover Defender 110 coming out top.
While luxury new cars can easily hit the £100k-plus mark, many of the premium cars in Auto Trader’s most popular new cars in March are less than this – and a fraction of the cost of a home.
Looking at the share of enquiries sent to retailers, the Defender had the highest at six per cent. The Volkswagen Golf was second, also with six per cent, and the Range Rover was third with three per cent.
Land Rover had a very strong month for new car sales according to Auto Trader, with two models appearing in the top three
The top 10 was rounded out with another Range Rover and a large number of BMWs: The Range Rover Sport was fourth most popular (three per cent), BMW 1 Series in fifth (two per cent), BMW 5 Series in sixth (two per cent), a BMW-owned Mini Hatch in eighth (one per cent), BMW M3 in ninth (one per cent) and the BMW X5 in tenth (one per cent).
The only electric car to make an appearance was the Honda e:Ny1 which was the seventh most popular new car on Auto Trader in March with two per cent share of enquiries sent to retailers.
The only electric car to make an appearance was the Honda e:Ny1 which was the seventh most new car on Auto Trader in March with two per cent share of enquiries sent to retailers
The electric car – which starts from just under £40k (£39,995) – was one of only four cars on the list that costs below the £40k mark. The Volkswagen Golf costs from £27,035, the Mini Hatch from £22,935 and the BMW 1 Series from £28,740.
The rest of the new cars on the list are all premium cars that come with a high luxury price tag.
The BMW 5 Series and X5 will set you back at least £51k or £69,560 respectively.
The Defender 110 – the most popular car in March – comes in at £63,670 for the least expensive version, and the BMW M3 costs a hefty £82,450.
Unsurprisingly the two most expensive cars on the list are the luxury Range Rovers: The Sport costs at least £72,255, while the Range Rover is a very pricey £104,025.
The Range Rover – which is a high-end luxury car with a price tag to match – will set new car buyers back at least £104,025
The Range Rover Sport – the fourth most popular new car on Auto Trader in March – costs at least £72,255
Price aside, motorists also made it clear that they believe being able to afford a new car gives you social status.
Three quarters (78 per cent) of male respondents listed a new car as the ultimate status symbol – believing it is a key representation of how successful you are – and 71 per cent of females also agreed.
And with new cars seen as a status symbol, over a quarter (26 per cent) of those surveyed feel that it’s extremely important to have the latest year number plate when driving a brand new car.
