I was actually looking at this today. ATM I am 30, single and living with my parents (I know, I know, Klingon uniform in in the post) earning £16k. To get a private rental place I would have to be on almost twice that realistically. Mortgage? Not a chance with or without a deposit.
The housing market is broken and wont be fixed by the Tories because most of their voters would be put into negative equity. And landlords are capitalising on that. I saw one place in a grotty area (but walking distance to work) £475 a month for an unfurnished 1bed apartment.
Up until my Dad died (I was 29 at the time) I was living with him, and paying token rent (about £200 a month), after that I took over the property for 6 months whilst my life changed, but eventually had to leave (it was council and deemed too big for just myself).
At this point I met someone (who I have now married), things progressed and we ended up moving to Bristol and privately renting, and have been there ever since. Our rent started at £675, the year after it rose to £695, and this July it rose to £725! Thankfully we have only signed up for 3-4 months at this last rate, as my in-laws have kindly given us a massive helping hand onto the property ladder and we are now looking to buy our first house - I think it was also a thank you for me paying everything whilst my wife is in Uni (I certainly won't grumble).
If it weren't for this massive helping hand, we would have stood no chance of getting out of rented accommodation, the rent for that place would have continued to rise each year, either putting a tighter strain on my income, or forcing us to move to a cheaper area.
I guess linking onto your post, I too agree that the housing market won't be fixed, as there are too many people who would end up in negative equity, which I'm sure would contribute to possibly another massive economic problem - so house prices will remain unattainable to the masses, but also, renting will rise to levels were most people couldn't afford it. At the moment, I am personally looking at mortgage repayments of between £500 to £600 a month, and you can already see what my renting costs are - it seems daft that rent can cost so much... but I guess it depends on our land lord; if he's got a mortgage on the place we rent that is linked to rates, then his costs will go up (at least that's what I told myself).