Our survey said infographic

Our survey said infographic

Mortgage vs marriage

 

Getting married and taking out a mortgage are two of life’s largest commitments, and both generally require one pivotal asset – money.

A lot of people will not be able to pay for a wedding and buy a home at the same time – so what are people opting to prioritise? According to MoneySuperMarket data, 68% of UK residents who took out a wedding loan, do not own a property.

Hover over the map below, which highlights by region the average house deposit, wedding loan amount, and proportion of people who take out a wedding loan but don't own a home.

Each region is ranked from 1 - 11. 1 Being the area with the most wedding loans taken out, 11 being the region with the least wedding loans taken out:

London’s love birds take top spot for the highest wedding loan amount, averaging £10,172 borrowed, and 79.02% of those do not own their home.

With London’s increasing house prices, could this be a reason people are choosing to marry before owning a home? Seemingly so, with Londoners expected to part with 138% of their annual salary for a mortgage deposit.

The same story plays out across the country, as prospective home-owners in the UK would see themselves compromising 68% of their annual salary for a deposit on a house, compared to just 31% to pay for their wedding.

This being said, wedding loans are also on the increase. In 2016, the average cost to fund the big day was £7,946 whereas 2017 has seen this rise to £8,466.

People of the North East are least likely to take out a wedding loan, however 57% of those who do also don’t own a home – despite the average house deposit in this region being lower than the average wedding loan.

Our survey said infographic

Tying the knot might be pricier than a house deposit

MoneySuperMarket data shows the average amount borrowed for a wedding in the North East and Scotland is higher than the average house deposit.

This differs dramatically in London, where the average house deposit is over four times the amount people borrow for their wedding, and could explain why 80% of Londoners who take out a wedding loan do not own a property.

The most expensive region of the UK to buy a property is the East, where 65% of people from this area who have taken out a wedding loan, do not own a home.

It’s in the North East of England where property investment is at its cheapest, in fact those taking out a wedding loan will actually spend 5% more than they did on their house deposit.

Our survey said infographic

Our survey said infographic

On average, people spend four years paying off their wedding loan

That special day comes at a cost – one that takes around four years on average to pay off. These four years’ worth of payments equates to an average house deposit in these four UK regions:

  • Scotland
  • Wales
  • North East England

Our survey said infographic

Majority of prospective newly-weds do not own a property

MoneySuperMarket’s data shows that 26 is the most popular age to take out a wedding loan.

When diving deeper into this younger age bracket, 76% of 18-30 year olds who have taken out a wedding loan do not own a property.

On average, 35% of the 22,293 people within this age bracket who have applied for a wedding loan this year, are borrowing 35% of their annual salary to pay for their big day.

Where do your priorities lie?

Whether it’s a mortgage or a wedding loan, financial matters come with responsibility and commitment. Our handy comparison tools are here to help you shop around to ensure you can get the broadest picture of what is available to you, and what quotes are on your doorstep. 

Sources

  • Wedding data & home owner data based on MSM loans data January 2016- August 2017
  • Mortgage data based on MSM mortgage data 2016. 

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