Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Strategy. Read the original article for full details.

L&G Research: Homebuying More Stressful Than Divorce for UK Buyers

A new survey by Legal & General (L&G) has found that UK homeowners consider buying or moving home to be more stressful than going through a divorce or romantic breakup. The research, which surveyed 2,000 UK homeowners, highlights the financial and emotional pressures faced during the homebuying process.

According to L&G, 48% of respondents said moving house was more stressful than a divorce or breakup, while 35% said the same about buying a home. In comparison, only 33% found divorce or a breakup to be more stressful. The survey also revealed that unexpected moving costs are a significant concern, with homeowners reporting an average spend of £1,836 on unforeseen expenses, excluding the deposit. This figure rises to £2,041 in London and £2,033 in Belfast, indicating notable regional differences.

The research identified a knowledge gap between age groups regarding moving costs. Nearly half (45%) of those aged 55 and over said they were aware of all moving costs, compared to just 12% of young millennials (25–34) and 14% of Gen Z (18–24). Younger buyers were also more likely to underestimate expenses, with 40% of young millennials stating that utility bills were higher than expected.

Understanding mortgage terminology remains a challenge for many buyers. Almost a third of respondents struggled with different mortgage types, and 39% of 25–34-year-olds found equity-related terms confusing. Additionally, 38% did not fully understand the concept of an Agreement in Principle. In contrast, 39% of those aged 55 and over said they understood mortgage-related concepts clearly. Londoners reported higher levels of difficulty with fees (38%), equity (36%), and mortgage types (35%).

Despite these challenges, many buyers felt positive about their financial planning. Nearly two-thirds (63%) said they felt confident when buying their first home, with confidence highest among 25–34-year-olds (71%) and lowest among those aged 45–54 (53%). Regionally, confidence peaked in the East Midlands (69%) and was lowest in Northern Ireland (56%).

Once the purchase is complete, most buyers focus on protecting their new home and finances. Building insurance (67%) and contents insurance (61%) were the most common types of protection taken out. Fewer than four in ten (38%) buyers took out life insurance, while 20% opted for income protection and 18% for critical illness cover.