New research from Weroom, the flatsharing marketplace, reveals that the annual exodus of people leaving the family home in London for the first will put 26% of first time movers into debt.
45% of Londoners underestimate how expensive moving out will be and struggle to make ends meet, with 38% citing the cost of moving as the biggest shock after leaving home.
On average, London renters are hit with costs of £684 when moving out of home for the first time (compared to the national average of £540), with property security deposits (48%) and everyday items (19%) some of the most expensive outlays. 26% of renters in the capital spent over £1000 when they first moved out.
It is not just young people who shoulder the financial burden of leaving home. 36% of Londoners borrow from family members to afford their first time move, with Bank of Mum and Dad (27%) taking the biggest hit.
28% of renters in the capital turn to overdrafts or credit cards when flying the nest, while 11% borrow money from banks and pay day lenders to fund the move.
Moving into flat and house shares, where living costs can be shared, is the most cost effective way of moving out for over half of Londoners (54%).
55% of London renters admit to not appreciating how much their family did for them until they moved out. Many forget to buy goods such as bottle openers (13%) and coat hangers (9%) for new homes.
Other common items that are forgotten when flying the nest include light bulbs (8%), milk and teabags (8%) and cutlery and crockery (7%).
Thomas Villeneuve, CEO of Weroom.com, said: “Many of us live a sheltered life until we fly the nest so it’s not a surprise that we feel unprepared when first move out. The current housing crisis means that the financial implications of flying the nest are starker than ever, with a worrying trend for Londoners getting into debt to afford to live independently.
“Living in house and flat shares allows London’s renters to share the financial responsibility of running a home and provides the social support of a family home. At Weroom we do all we can to protect renters and their finances, and make the renting experience as easy and fun as possible.”