The bedroom blockers: older Brits refusing to move
Only a third (36%) of over-55s want to downsize in retirement, according to Nationwide, and one in five reckon their next home move will be to a same size or larger property.
Just over two in five (43%) say they never plan to move again.
Give me some space
The survey, which polled more than 2,000 people aged 55-plus, found that space was the main reason for staying put (49%), with respondents saying they don’t want to downsize due to needing room to host family (22%), to house their possessions (18%) and enjoy their hobbies (10%).
Jason Hurwood, Nationwide’s director of home propositions, said: “The perception that all older people want to downsize to much smaller properties is outdated and cliched. As the research shows, people aged 55 and above are putting off the traditional downsizing house move, with space being very much in demand for a range of reasons – from entertaining friends and family to allowing them to keep and store valuable keepsakes and belongings.
“However, remaining in a larger property may have financial implications in later life, from mortgages to maintenance.”
Location, location, location
Staying in their local area is also important to local homeowners, with just over four in 10 (43%) saying their home location was the reason for wanting to stay, while being close to family (18%) was another.
For those willing to downsize, more than half (56%) say this is because a smaller house would be easier for them to manage or easier for them to get around in old age. But seven in ten (73%) admitted they would stay in their current house if they could.
Although many want to stay in their home for the long term (54% see their current home as their forever home), 47 per cent either don’t know, or haven’t thought about, how they will cope with their home in old age. More than a fifth (22%) say they will rely on family to help them out with maintaining the property.
Cost of maintenance
Around a quarter (24%) would consider using equity release to allow them to stay in their current homes with respondents saying they have, on average, £115,559 in equity.
Hurwood said: “With many retirees being property rich and cash poor, planning for the additional costs that may be needed is essential. Nationwide offers a range of Later Life Lending options as we are seeing more demand from older people to realise money through their homes – from unlocking the value to fix long standing maintenance issues, from creating new space to updating tired rooms or from helping adapt the property for old age to taking their mortgage into retirement.”