Coupling up can help homeowners cut £11,000 per year

Coupling up in the property market can save you £11,000 per year

The latest research by estate agent comparison site, GetAgent.co.uk, has revealed the significant sums you can save when it comes to tackling the property market with a significant other this Valentine’s Day.

GetAgent analysed the current cost of homeownership from the initial deposit, mortgage borrowing potential based on current earnings, as well as the ongoing cost of a mortgage repayment and the cost of maintaining a property, to reveal just how much can be saved when purchasing a property with a partner.

While the rate of house price growth may have cooled in recent months, the average cost of a 20% deposit in today’s market still sits just shy of a hefty £60,000. Coupling up and splitting the cost when looking to buy will reduce the size of your personal deposit payment by £29,491.

What’s more, purchasing with a partner can significantly increase your property market power when it comes to the mortgage you are able to secure.

At 4.5 times income, the average person can currently secure a mortgage to the tune of £150,309. However, when combined with their partner’s income, this climbs to £267,216 at 4 times the combined income, boosting their property purchasing power by a whopping £116,907.

Once you’ve made it onto the ladder, splitting the cost of your ongoing mortgage repayments can also save you a significant amount. With the average monthly mortgage repayment coming in at £1,290, going halves will reduce this monthly cost by £645 per month, that’s a reduction of £7,740 per year.

Then there’s the cost of running and maintaining your property, which averages £5,897 per year for the average homeowners. With the help of your significant other, you can halve this cost and reduce your outgoings by a further £2,949 per year.

All in all, purchasing with a partner can reduce your personal property costs by almost £11,000 (£10,689), and that’s just the reduction made with regard to the annual ongoing costs of your mortgage repayment and maintenance and running costs.

Co-founder and CEO of GetAgent.co.uk, Colby Short commented:

“The cost of homeownership has spiralled in recent years and today, many homebuyers simply wouldn’t be able to climb the property ladder if they were forced to tackle this monumental task alone.

By coupling up in the property market, you can not only accumulate your required mortgage deposit at a quicker rate, but the sum you will be eligible to borrow will also increase, allowing you to buy bigger and better than you may have otherwise been able to.

Once you have snagged your dream home, the additional help of a significant other will reduce the ongoing personal cost of homeownership by almost £11,000 a year.

That said, we certainly don’t suggest you look for love this Valentine’s Day purely to boost your property purchasing potential.”