View more on these topics

Over 65s hold more wealth in property than pensions: OneFamily

Over 65s hold nearly five times as much wealth in property as they do in pensions, according to OneFamily.

Data released by the financial firm shows that UK pensioners have £1.6tn in property wealth, compared to £336bn in pensions – for every £1 in pension savings, over 65s have £4.70 in property wealth.

According to Onefamily the average pension pot value by retirement is worth £28,000.

However, the firm adds, one in eight people retired without any private or company pension savings at all last year.

The figures show that 19 per cent of over 50s intend to use their property as a means of funding their retirement, either by downsizing, making buy-to-let investments or unlocking the capital in their properties through lifetime mortgages.

In 2018, nearly £4bn was taken out in property equity, up from £3.06bn in 2017.

OneFamily Lifetime Mortgage managing director Nici Audhlam-Gardiner comments: “As these numbers show retirees will need to look to new sources outside of their pensions for retirement funding.

“With the value of property having risen over many years, it’s no wonder that homeowners are turning to this source of income to fund their later years.”

Recommended

Lifetime mortgages “product of choice” for retirees: OneFamily

Lifetime mortgages are soaring in popularity among wealthier homeowners, according to OneFamily. Analysis of the lender’s data found that the price of a property OneFamily lends on is typically 59 per cent higher than the average property price, at £370,483 versus a nationwide price of £232,554. Regionally there are significant variances with the average price […]

buy-to-let

Homeowner possessions drop to near-40 year low: UKF

UK Finance reports that homeowner repossessions are at the lowest level recorded in nearly 40 years. Data provided by the firm shows that, in 2018, there were 4,580 homeowner possessions, which is the lowest since 1980, when there were 3,480. During 2018, there were 2,240 buy-to-let possessions. On a quarterly basis, there were 1,130 homeowner […]

Landlords should tread carefully when diversifying

Ian Boden, Sales Director, LendInvest There’s little question that the shape of the landlord market is changing. The various regulation and taxation changes introduced over the last few years have seen the make-up of the nation’s landlords move away from the dinner party landlords with one or two properties to those with much more comprehensive […]

Newsletter

News and expert analysis straight to your inbox

Sign up