The global cost of living crisis is having a catastrophic impact on millions of people, from rising energy bills and record-high fuel prices, to skyrocketing mortgage rates putting many people’s house research on hold.
New research has revealed that 72% of homeowners in North England are avoiding moving home due to increasing mortgage rates, with the same percentage considering alternative options for creating more space within their existing home as opposed to considering moving home.
Stuart Bensusan, director of Surewise.com, comments:
“The cost of living crisis is having an astronomical impact on the ability and motivation for homeowners and renters alike to move home in the UK. With the self-storage industry continuously expanding throughout the country, it’s not unquestionable to predict that more homeowners will look for alternative solutions such as self-storage to make better use of their existing space as opposed to incurring the high cost of moving”.
Is self-storage the solution to rising mortgage rates?
The study, from Ready Steady Store, surveyed 1,059 homeowners across England and further revealed that 40% of respondents would consider moving their belongings into storage to create more space.
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.”
According to a study from RentCafe, not having enough space at home was the second most common reason for renting self-storage, with relocating the most popular reason.
It’s fair to assume that with rising costs and fewer people looking to move house any time soon, relying on self-storage to free up space around the home is likely to become increasingly common amonghomeowners.
With the average cost of moving home in the UK estimated at £11,777, and self-storage costing an average of £23.94 per square foot per year, and storage insurance costing as little as £13.49 per year, it’s easy to see what the more cost-effective option is – not even taking rising interest rates and housing prices into account.
Most people looking for more space or bigger gardens
Further insights from the study revealed an increase in space was the leading driver for homeowners considering moving home (57%). 33% of respondents stated that a bigger garden was their driving factor – something echoed in a study released by Rightmove earlier this year, wherein searches for homes with gardens were up by 42% for buyers, and up 84% for renters.
In a separate report from Legal and General, ‘needing more space’ was cited as the number one reason for moving (42%). In the same report, 57% of respondents considered moving home the most stressful thing you can do – above even having a child and divorce.