The Santander report, Fixing the Broken Chain, produced with WPI Economics and JL Partners, revealed that more than 530,000 property transactions fail each year.
Only half (56%) reported knowing how to budget and just 58% said they can set long-term financial goals
Further research by the insurer suggested that in 2023, there was more than £433bn of mortgage debt not covered by life insurance in Britain.
This figure has increased by £35,000 in just two years, up from £360,000 in 2022.
Young people are leaving the family home later than in the past, while people are also retiring later.
Tracker mortgages are much more popular for homeowners aged 18-24, as 17.82% took on the risk of fluctuating interest rates.
The average house price has now more than doubled over the last 10 years, standing at £294,910 in November.
A report by Uswitch.com has found that 18-24 year olds spend over £1,390.90 a month in mortgage repayments.