59% of mortgage holders in the Midlands struggling with mental health

According to a new survey of 2,000 UK homeowners who pay a mortgage, conducted by independent market research firm Danebury Research on behalf of global technology leader Dye & Durham, the ongoing cost of living crisis is affecting the mental health of more than half (56%) of UK mortgage holders who have genuine concerns over their financial situation and that of their families.

Nearly a third (30%) say they are worried they will fail to make mortgage repayments within the next year, with those aged 18-24 expressing particular concern (42%).

In addition, more than a third (36%) said they could only afford to continue paying their mortgage for two months if a job loss affected the main breadwinner, meaning repossessions could become a rising risk for the UK’s property market. And with one in eight (12%) UK homeowners expecting to delay selling or buying a home this year, legal professionals that rely on property transactions to drive revenue will need to take a closer look at their operations and make adjustments to better adapt to volatile market conditions and save money.

“The effects of high interest rates, energy bills and the increased cost of living overall cannot be underestimated. Our survey data shows people in the UK are extremely concerned about both their short- and long-term future and have reduced spending, raided savings and are delaying major purchases,” says Martha Vallance, Chief Operating Officer for Dye & Durham.

Findings of note for the East and West Midlands include:- More than a third (37%) of respondents in the East Midlands expect it will take significantly longer to pay off their mortgage than originally anticipated compared with 39% in the West Midlands and 36% nationally- More than 55% across the Midlands have reduced the personal usage of their car to save money- 67% of those in the East Midlands are worried offspring will be unable to get on the property ladder compared with 66% nationally and 63% in the West Midlands- 39% in the East Midlands expect to delay home improvements compared with 34% in the West Midlands and 35% nationally- Almost one fifth (19%) in the Midlands expect they will need to delay retirement plans- 50% of those in the East Midlands expect to have less money to put into savings, pensions or investments compared with 40% in the West Midlands and 46% nationally- 39% of mortgage holders in East Midlands said they could comfortably afford to continue paying their mortgage for just two months or less, if there was a change of circumstances for the main income earner, compared to 34% in West Midlands and 22% in London.- To help manage monthly outgoings, three in five (60%) homeowners have cut-back on takeaways or meals out – 56% East Midlands and 58% West Midlands. More than half (55% East Midlands and 49% West Midlands) say they have reduced clothes shopping- 45% in the West Midlands said they feel ‘stuck/unhappy’ in their current home/life/job but can’t afford to change their circumstances- To help better help manage their household budgets, 45% of those in the East Midlands agreed that they have started selling personal items, or are doing this more often, whether online or at car boot sales (compared to 43% nationally, and 39% in the West Midlands).

Paul Clarke, UK Product Lead, Dye & Durham adds: “For those concerned about making mortgage payments, seek advice from a mortgage advisor or your lender as help is available. It may be possible to secure a mortgage holiday or switch to interest-only payments for a temporary period. Selling a property can take a minimum of two-three months from sale agreed to completion, so for those considering downsizing to minimise mortgage commitments, don’t delay consulting an estate agent or legal conveyancer for advice.”

For further information please see: www.dyedurham.co.uk