Over half of homeowners are ‘put off’ moving house due to increasing mortgage rates according to new research by self storage provider, Ready Steady Store.
The research, which surveyed 1,059 homeowners across England, revealed that 51% of homeowners would no longer consider moving house due to rising mortgage rates, with a further 57% advising they are put off moving house due to concerns over growing energy and living costs.
Interestingly, 45% of respondents advised they would have moved house within the next 2 years if mortgage rates and living costs weren’t a growing concern, with a further 25% revealing they would have considered a move.
Furthermore, 59% of respondents believe that current economic decline will lead to a housing market crash, with 71% of homeowners advising they would or would maybe consider alternative options for creating more space within their existing home as opposed to putting their house on the market.
Other key take outs from the research include:
- An increase in space [57%], change in location [37%] and a bigger garden or outdoor space [33%] are the leading drivers for homeowners considering a move.
- In the South of England, only 30% of homeowners would still be happy to move house despite rising energy and living costs, compared to 26% in the North of England.
- 66% of homeowners across East and West Midlands are put off from moving house due to rising mortgage rates, compared to 70% in South England and 72% in North England.
- 40% of respondents would or would maybe consider moving their belongings into storage to create more space.
- 32% of homeowners believe it would cost £100 – £200 per month to store the contents of a three-bedroom house, with 28% believing it would cost £201 – £300.
This research comes as Rightmove released its market stats for August 2022, which reveal a 1.3% fall in house prices – the first decrease of 2022, and the biggest price fall since December 2021.
The same data set also revealed a 1046% increase in the demand for garden offices, reinforcing that a want for more space is a key driver for moving house, as found by Ready Steady Store.
Discussing the research, Mehran Charania, Director of Ready Steady Store, said: “This data is incredibly telling and effectively highlights how the UK housing market is likely to experience a shift in the coming months from its 12.8% growth high documented in May 2022.
For most homeowners, tying into a mortgage rate well over 4% combined with an 80% increase in energy costs simply isn’t affordable, meaning more and more will look for alternative options within their existing home, such as creating more space or refurbishing existing rooms into more usable areas, like a home office. Here, external storage solutions can not only offer a cost-effective, but also flexible option, enabling homeowners to jump on the market as and when it becomes more viable for them to move house.”
Established in 2005, Ready Steady Store is a fast-growing self-storage provider with cost effective storage units located in the Midlands, and South, North and East of England.
For more information, visit: https://www.readysteadystore.com