Over-50s’ property values have risen £7K since July alone
Older homeowners have recently seen the highest house price rises in four years, according to SunLife.
The finance business said that over 50s have seen £7k house price growth on average since July.
Despite this increased property wealth, one in four are worse off than they expected to be and fear their money will run out before they die. And one in five have already considered using their property wealth to help fund their later years.
Simon Stanney, equity release director at SunLife said: “Of those over 50s that are still working, 43% say they don’t think they will have enough money for retirement while 10% say they ‘don’t know’. Amongst those that are already retired or semi-retired, 15% don’t think they have enough money to last.”
However, SunLife’s data also reveals that homeowners over 50 have seen their homes more than double in value over the past 20 years, from an average of £113,365 in 2000 to £240,681 in July 2020.
Stanney added: “Our research shows that 20% of over 50s are planning to use their property to fund their retirement.
“Downsizing is one way to release the equity tied up in your home, but our survey reveals that more than half of older homeowners don’t want to move, so for those homeowners over 55 who need to boost their finances but don’t want to move, equity release can offer a solution.”
Equity release allows you to access the value tied up in your home without having to move.
But it’s important to ensure you get independent financial and legal advice before you make any commitment, as there may be more suitable options available.