A recent survey by financial company L&G found that 88% of millennials aged between 25 and 34 are unaware of the total cost of moving to a new home.
Older people are more knowledgeable, with 45% of those over 55 saying they are aware of the costs.
Gen Z (18-24) are not very aware, with only 14% of them knowing the costs. In general, younger people were found to be more likely to underestimate the overall costs of moving.
Though many people claim they can budget accurately for moving costs, the survey found that, on average, new homeowners reported unexpected costs of £1,836.
Despite these findings, buyers said they felt positive about their ability to plan financially for a move. Nearly two-thirds (63%) felt financially confident about buying their first home
The survey also found that 39% of millennial homebuyers are confused about mortgage terminology. For instance, 38% of millennials do not know what an Agreement in Principle is. Those aged over 55 had greater mortgage knowledge, with 39% saying they understood mortgage concepts clearly.
A spokesperson for the survey organisers said:
“Buying your first home is a major milestone, but our research shows it can feel overwhelming, particularly when faced with unexpected costs and unfamiliar mortgage terminology.”
If you are planning a move to a new home, ask us for a removal service quote at Merseyside Movers & Storers. We are a leading Merseyside removal company that provides transparent quotes. Unlike some other companies, there are no hidden charges.
