Prevent debt problems by buying instead of renting
Prevent debt problems by buying instead of renting
- Tuesday, 15 June 2010Young couples could avoid
debt problems by buying instead of renting a property in many areas of the UK outside of London.
According to Santander, monthly mortgage repayments can work out cheaper than rental prices outside the capital as the government encourages first-time buyers by building new homes.
Buying rather than renting a property could save consumers as much as £1,040 a year, suggests Santander.
Phil Cliff, director of mortgage marketing at Santander UK, said: "People have been justifiably cautious in approaching the housing market in recent months but this research strongly supports the idea that in the majority of cases owning can be less expensive than renting."
This is because the average monthly rent in the UK, excluding London, is just over £420 a month while mortgage repayments could be as little as £334.
There has also been an increase in the amount of money spent on home improvements in the last year.
Halifax found that the amount spent on sprucing up a property had increased by £1,000 a year since 2009.
This suggests that people are deciding to redecorate instead of moving home as this is a cheaper option.

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