More than half of Aussie homeowners who had sold their existing property had to spend significantly on temporary living before being able to move into their new home, according to the latest study by Bridgit.
The study showed that the younger the sellers are, the more likely they are to spend on temporary living before being able to move into their new home.
More than a quarter of Australians had to move into temporary accommodation twice before they could take up residence in their new home, while around 6% said they had to relocate at least three times.
On average, a household pays $8,300 prior to moving in — this cost involves expenses for temporary accommodation, moving and storage costs.
Bridgit CEO Aaron Bassin said the process of buying and selling a home is stressful enough and having to spend significantly on temporary accommodation add another layer of burden.
“With the cost of renting rising and many cities and regions across the country experiencing a rental crisis, it is an avoidable part of the homebuying journey,” he said.
Given this, more than half of Australian homeowners said they would have preferred to buy a new home before selling their existing one.
Furthermore, around the same share said they would like to have the ability to unlock the equity in their current property to help fund they their next home purchase.
Mr Bassin said bridging finance is an option for homeowners in the middle of buying a new home and selling their existing property.
“Bridging finance fills that gap by providing homeowners a short-term loan to finance the purchase of their new property then making their repayments once their existing house is sold.
With bridging finance, there are no double mortgages and no monthly repayments necessary.
“When going down this path of buying first then selling later, homeowners should look for a bridging loan provider like Bridgit that offers interest-free periods to give them more time to buy on their terms, particularly in the current uncertain property market,” Mr Bassin said.
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Photo by MART Production from Pexels.
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