Cohabiting couples £1200 better off each year
Wednesday 27th February 2013
Research commissioned by first direct has found that cohabiting couples, those that are married or living together, are £102 better off each month than singletons.
The survey also found that the vast majority of the UK population (91%) haven't changed their relationship status in the last 12 months. Just over two thirds (65%) said they were living together or married, a fifth (19%) were singletons and 8% were in a relationship, but had yet to take the plunge and move in together.
The results show that a person's relationship status has a real impact on their finances. The average monthly disposable income of those who are married or living together was £102 more than a singleton, £307 per person for cohabiters versus £256 amongst singletons, giving them £1224 more each year to secure their financial future or to spend on the finer things in life.
Singletons said they are less likely to be able to treat themselves than those who are married or living together. When asked if they could afford things like regular holidays, nights out, gym membership and a cleaner 34% of singletons said they were unable to afford any of the options, significantly higher than cohabiting couples (23%).
And when it comes to their financial future singletons are also worse off; only 37% felt able to add to their savings each month unlike 45% of cohabiters. Those living together were also more able to afford mortgage payments (45% vs. 24%) and a mortgage deposit (19% vs. 14%).
Andy Forbes, Head of Retail Products at first direct said: "Peoples' relationship status has a real impact on their finances and in turn their ability to save and afford the finer things in life. I'm not advocating that people should move in together before they're ready, but for those already considering sharing a roof it definitely makes financial sense."
The UK housing market appears to have finally turned a corner as buyers returned to the market in their biggest numbers for four years.
The latest RICS Residential Market Survey, found that during July, the number of potential buyers looking to enter the market grew at the fastest rate since July 2009, as a net balance of 53% more chartered surveyors reported increases in demand.
Significantly, this growth was seen in each and every part of the UK as the recovery, initially focused in the South East, spread to regions across the country. The West Midlands and the North East – areas which have suffered more than most since the market crash – experienced the biggest increases in buyer activity in July.
Consequentially, prices rose in the country for the fourth consecutive month and grew at their fastest rate since the market peak of November 2006. Notably, this was not only confined to more affluent parts of the country such as London, but every region saw growth as we enter the end of the summer period.
In conjunction with rising buyer confidence, more potential sellers looked to test the market and place their homes up for sale. Last month, 15% more respondents reported rises new instructions. This reading has now been in the positive for the past six months. However in each of these months it has been outstripped by the change in new buyer enquires.
Looking ahead, it seems that prices across the country are going to continue to rise further, with a net balance of 35% more surveyors predicting increases. Meanwhile, transaction levels are also expected to grow, as 53% more respondents expect sales to rise, rather than fall over the next three months.
Peter Bolton King, RICS global residential director, said: “These results are great news of the property market as it looks like at long last a recovery could be around the corner. Growth in buyer numbers and prices have been happening in some parts of the country since the beginning of the year but this is the first time that everywhere has experienced some improvement. It is clearly good news that those parts of the property market that were struggling are at last showing some signs of life.”
AT LAST!!