"For homeowners who may have an additional occupant moving back in, it is important that you let your home insurance provider know. Your insurer will need to be aware of how many people live in your home, as this can impact how much you pay"
- Helen Phipps - Compare the Market
New research from Compare the Market has revealed that 23% of 21–34-year-olds who rent privately regularly consider moving back into their family home, while 32% sometimes think about doing so.
The largest proportion say that this is due to general living costs being too high (55%), while 40% want to save money for buying a property.
29% say that they are struggling to pay their rent specifically, with 73% saying that they found it challenging to afford their rent in the last year. 22% have considered moving back in with their family to save money for another reason, such as travelling.
21% of 21-34-year-olds currently live in their family home, while 33% live in private rental accommodation. 27% live in a home that they own with a mortgage and 8% in a property that they own outright.
Among those living in their family home, 35% say that they are choosing to do so because of the high cost of living, which means that they cannot afford to live elsewhere. A similar proportion (35%) say that they are saving up to buy their own home, while 24% say that they simply prefer living with their family.
Many respondents currently living in their family home contribute towards a variety of household expenses. 54% help to pay for food shopping, while 26% contribute towards subscription services and a similar proportion (26%) to energy bills.
Most 21-34-year-olds currently living in their family home say that they plan to move out within the next year (64%). Among them, 40% intend on buying their own property, while 24% plan to move into rented accommodation. Shopping around using a price comparison website can be a helpful way to find deals that could save you money when preparing for a move.
Of the 36% of 21-34-year-olds who do not plan on moving out of their family home in the next year, the largest proportion (40%) plan to move out in three to four years. 35% intend on moving out in one-to-two years, while 18% plan on moving out in five-to-six years.
Helen Phipps, Director at Compare the Market, commented: “A significant number of young renters are considering moving back into their family home due to high living costs.
"We would encourage people who are struggling to look for ways to make savings where possible and ensure that they do not pay more than they need to for everyday expenses. People could start by making a note of what’s coming in and going out, avoiding allowing expenses like insurance and utilities to auto-renew, and ensuring that they do not slip onto variable or ‘standard’ rates for credit cards. Comparing costs online using a price comparison website may also be helpful.
“For homeowners who may have an additional occupant moving back in, it is important that you let your home insurance provider know. Your insurer will need to be aware of how many people live in your home, as this can impact how much you pay.
"If your home insurance premium increases significantly, you could make savings by switching your provider. Homeowners could save up to £211 on their home insurance through Compare the Market.”
