Fuelled by Breakups and Divorces, The UK Housing Sector is Powering On!

When the lockdown was enforced for the first time back in late March, market predictions had put the UK real estate market to be among the worst affected segments, alongside education and hospitality. As of the third week of July, though, that projection has not been found as true in all segments.

The housing sector in particular is doing exceptionally well in even high-value, major cities such as London and Bristol. Taking a closer look at the situation and talking to expert real estate agencies reveals a fact that is not being publicised as much as the other aspects which have not just kept the housing market in the UK afloat, but skyrocketed it in some of the lest expected regions.

Divorces and Breakups Powering the Housing Sector?

According to multiple reports and confirmed by the nation’s top real estate agencies, couples choosing to go their separate ways is indeed a genuine reason behind why the housing segment is doing better than anyone could have ever expected, amidst everything that is going on.

A significant spike has been noted in relationship troubles with increasing intensity ever since the lockdown in the UK began. As reported by major law firms, the rate of online and on-call divorce enquiries has increased by anywhere between 40% – 50%, when compared to the pre-lockdown months. Aside from keeping divorce lawyers busy, these stats are also boosting the real estate economy in personal and small housing segments.

How It is Affecting Joint Insurance Policies

The increase in separations is putting certain segments of the insurance sector in a bind. For example, it’s a common query as to what happens post-divorce, if the (former) couple had a joint life insurance, car insurance or appliance insurance policy. Nearly half of British couples do have joint policies, and figuring out the benefactor has always been a legal debacle.

It should not have to be as complicated to resolve if one chooses the right policy with the proper agreement terms. For example, Quotezone give you that opportunity to compare appliance insurance quotes and negotiate the insurer’s terms in advance, so that a customer can find the best value for their money, as well as the necessary terms to seamlessly resolve post-divorce liability/beneficiary issues. They also offer the same opportunity for every other type of insurance, including everything from house and car insurance, to even all kinds of business insurance.

The Direct Connection Between Relationship Problems and Real Estate Values

Families breaking up is ironically proving to be the main sustaining factor for the real estate’s housing segment, which includes both property acquisitions and rentals. Either the divorce is forcing a spouse out of their home, or they are leaving on their own after a breakup.

Given that one of the two needs a new place to move in, the increased rate of separations has made them the primary customers, actively powering the housing real estate market through these troubled times. While separations have always been a positive factor for the housing market, never before has the impact been as prominent in keeping it afloat as it has been in 2020 so far.