(1888PressRelease)
May 17, 2007 - The study by the insurance division of the bank, which is based on industry data, shows the average annual cost of running a home is now £11,035 - an increase of 12 per cent (£1,199) since 2004/05.
Mortgage costs account for 60 per cent of the £11,035 sum, while the alterations and improvements category is the next biggest outlay, assuming a 12 per cent proportion of the total.
Other expenditures include council tax, gas and electricity bills.
According to Robert O'May, home insurance manager at Sainsbury's Bank, spiralling prices highlight the need for consumers to scout out the best available deals in order to keep costs to a minimum.
"It's becoming more expensive to run a home, which makes it all the more important for homeowners to shop around to make sure they are getting the very best deals available," he said.
"This is not only for their mortgages and utility supplies but also their home insurance."
Julian King, director of National Homebuyers, the UK's leading homebuyer service adds: "The rise in household bills will have a detrimental effect on the property market as a whole. We are already seeing record levels of repossessions and this will continue.
"The likelihood of interest rates rising to six per cent by the end of the year will cause many people even more severe financial difficulties, people across the country are contacting National Homebuyers requesting help by purchasing and allowing them to remain living in their homes and renting back at a lower manageable level of rent which enables people to get their finances and life back in order."
