Consumers feeling ‘financially worse-off’ but sel...

UK consumers are feeling financially worse off than they were a year ago but this sentiment isn’t necessarily reflected when it comes to selling property, a survey suggests.

A new UK Pulse Report from conveyancing software provider Dye & Durham has been launched to explore trends in the economy, property market and technology.

The survey of 2,151 UK adults conducted by YouGov found 47% feel their finances are in a worse place than they were 12 months ago, with only 16% suggesting an improvement.

Those aged between 35-54 are feeling the most financially vulnerable, with 52% confirming that their finances have been negatively impacted compared to 2022. The bulk of this group – 59% of those 35-44 and 58% of those 45-54 – also say owning their home has become less affordable.

While sentiment about personal finances has dipped, consumers’ plans to purchase or sell properties over the next year have not experienced the same downward pressure, it has been suggested.

A separate Dye & Durham survey conducted in the UK in March 2023 found 1 in 10 of UK respondents were planning to delay property purchases to wait for lower interest rates or asking prices. That’s down to one in 20 today.

Similarly, the UK Pulse Report for the third quarter of 2023 found that 2% of respondents sold their primary residence and purchased a new one in the past 12 months, but 3% plan to do the same in the next 12 months.

Martha Vallance, chief operating officer, Dye & Durham, said: “It’s clear that many people in the UK continue to be affected by the tough economic conditions, with rising bills and high interest rates making people feel financially worse off.

“This has had a knock-on effect for many industries as transaction activity has declined, including the legal industry that we operate in. However, as rates begin to hold – and eventually decline – we expect to see a significant upswing in areas like real estate transactions, business originations and others that should help legal firms bounce back from a slower-than-normal year.”