"Homeowners have to think long-term, considering how their location will affect their personal lives, as well as potential resale value or insurance costs. So, it makes sense that location would be a big consideration for them"
- Nathan Blackler - Go Compare
79% of homeowners prioritise location above price when it comes to choosing a home, according to a new study.
The findings highlight how residents who don’t own their homes are feeling the pinch of rising rental costs, pushing them to prioritise budget over anything else. In the survey by Go.Compare Home Insurance, 69% of renters cited affordability as their main consideration, with location a close second (66%).
Research by the insurance comparison site reveals a divide in what homeowners and renters prioritise when selecting a home. The study shows how financial constraints and the long-term commitment of homeownership can shape someone’s decision to settle on a property.
Price stands out as the number one factor in home selection across the UK, with 74% of respondents selecting it as the key aspect in their decision-making process, including three-quarters of homeowners. The surge in average rental prices – up by 26% over five years – combined with the average property cost of £292,924, shows why affordability is at the forefront for many house hunters.
Price sensitivity varies across age groups, with most younger residents prioritising affordability. 83% of 18 to 24-year-olds identified price as their top concern, compared to 71% of over 55s. Meanwhile, Brits aged 25-34 care more about location than younger home-seekers. 76% of 25-34-year-olds said this was the most important factor, while only 63% of 18-24-year-olds felt the same.
The survey also highlights the influence of home insurance costs on a decision to move. 54% of respondents said that a significant difference in insurance premiums would impact their purchase decision.
Nathan Blackler, home insurance expert at Go.Compare, said: “It’s fascinating to see the different priorities of homeowners and renters. Homeowners have to think long-term, considering how their location will affect their personal lives, as well as potential resale value or insurance costs. So, it makes sense that location would be a big consideration for them.
“On the other hand, renters are grappling with the ever-increasing rental costs and are typically just searching for a place that fits their needs and budget. But insurance shouldn’t be an afterthought for anyone.
“For those who prioritise location, it’s essential to understand how different areas can impact your insurance premiums – not just for home insurance, but car insurance too. Doing your homework on insurance costs should factor heavily into your decision-making process when selecting a home, helping you get the best deals possible.”
