Non-cohabiting Couples Waste 5bn Pounds A Year

Research by popular property website Santander Mortgages has reported that more than 1 million couples across the UK are squandering over £5bn a year maintaining separate property investments.

Either engaged or in a long term relationship, nearly 1 in 4 couples are leasing property lets or are paying mortgages on 2 separate homes, even though they spend at least 3 nights a week under the same roof…

Continuing in their research, Santanders believes that by making the move to co-inhabit, couples could save on average approximately £4,819 a year in payments – a saving of £402 a month instead of spending a collective sum of £808.

However, despite these apparent savings, increasing property prices and continued difficulty attaining deposits for a mortgage, have meant that many couples simply cannot afford to make this transition. For instance during last month alone, property prices grew by 1.1%.

Yet this is not all…

Research by IHS Global Insight suggests that the cost of housing compared to earnings has risen also, growing from 4.33% in March 2009 to 4.94% in January 2010.

With such uncomfortable circumstances it is easy to see why many couples are holding back entering into joint ownership. In their study, Santanders discovered that:

• 5% would like to buy jointly but believe it is too difficult to get a mortgage
• 16% would like to buy together but are put off by the costs of investing in property

Furthermore, Santanders revealed that:

• 10% rent separate accommodation
• 5% own separate houses/flats
• 8% are in a relationship where one partner owns property whilst the other rents

Original Article