“Is it too soon to move in together?”
“Well, are we going to save money?”
A recent Realtor.com® survey found that 63% of respondents who moved in with a partner did so due primarily to finances and/or logistics. Both baby boomers and Generation X were less likely to consider finances and logistics as a sign to move in together, as 56% of Gen X said they considered it, as did 44% of boomers. However, 80% of Generation Z and 76% of millennials cited them as a factor. Among Gen Z members who cited finances and/or logistics as two top priorities, 56% said saving money was a factor in their decision.
For the majority of respondents, it worked. Of respondents who had moved in with a partner, 70% reported saving money, with 23% saving more than $1,000 a month. An additional 47% saved up to $1,000 a month on housing expenses. More than one-third (37%) said they moved into a property their partner already rented, while 21% moved into a property their partner owned. Thirty percent sought a new rental together and 9% bought a home together.
However, saving money didn’t always mean the relationship lasted. Nearly half (42%) of people who moved in with their significant other reported they had regrets. Forty-eight percent said the relationship ended, 31% said they moved too quickly in the relationship and 27% said they weren’t compatible as roommates too. Twenty-six percent said it was harder to break up, 22% said dividing belongings was stressful and another 22% said living together ruined the relationship.
Some people (31%) prepared for potential hardships by signing a contract with their partner, including 54% of Gen Z and 47% of millennials. While saving money on housing may seem like a no-brainer, the potential fallout could be a much bigger headache.