Quantcast
Menu

Equity Release

Retirees plan to use property wealth

Adam Williams
Written By:
Adam Williams
Posted:
Updated:
10/08/2015

More than two in every five people approaching the age of 65 plan to use their properties to fund their retirement.

Research by equity release provider More 2 Life found that homeowners in the 55 to 64 age bracket were increasingly considering retirement mortgages.

The firm found that 41% of homeowners are now banking on property wealth to help fund their retirement and retain a high standard of living.

Those aged between 45 and 54 are also intending to use their property during retirement, with more than half (51%) of that age group using creating a retirement plan involving their home.

However, a proportion of people would not consider accessing property wealth at present. In total 17% of over-45s said they would not consider such a solution.

This may be because of a lack of suitable products. Some 60% of those aged 65 and over said more specialised products were required.

Dave Harris, managing director of More 2 Life, said: “Pension freedoms have put property wealth at the heart of retirement planning by increasing flexibility over how savers can access their cash.

“There is a very clear and growing demand to access home property wealth across the UK. There are lots of people in the UK, in middle England, whose retirement will be transformed and their tax bills potentially reduced if they looked at their pension and property assets together.

“The pension reforms make a holistic approach to retirement planning more important than ever before and those approaching, or at, retirement should factor in property wealth when planning for the future.”


Share: