- Research reveals that wealthy over 55s are confident they will be financially secure
- 33%[i] are planning on unlocking funds for retirement by using equity from their homes
- Over half are confident their private pension will be their main source of income in retirement
New research from Audley Retirement has shown that the majority of wealthy over-55s – those with houses valued at £300,000 or more – have firm plans in place to fund their retirement. Well over half (57%) of those surveyed said a private pension would be their main source of income and one in five (19%) felt they have sufficient savings in other forms to act as their main income. Only a tiny minority (2%) were not sure how they were going to fund their future
Audley also found that those in this sector are savvy to the options available to them when unlocking additional funds. One third (33%) are planning to use equity from their home to help fund their future. This offers a potentially huge boost for the UK economy, as more people aged 65-74 own their own homes in the UK than any other age group[ii] and over 55s are sitting on £1.1 trillion of unmortgaged equity[iii].
Nick Sanderson, CEO of Audley, said: “The new research shows yet again that this is a financially savvy and well-prepared demographic, who are well prepared to get the most out of their retirement. It’s particularly interesting to see that 33% are planning on using their homes to help fund their retirement.
“Unlocking equity in a family home by downsizing has a huge number of benefits, both in the avoidance of tax on a lump sum income, and in the positive effects across the whole property market. We must empower older generations to continue contributing to the economy and society, by ensuring they understand the full range of options available to them.”
Founded in 1991, Audley has since established itself as a pioneer in the provision of high quality retirement living. The first Audley village was built fifteen years ago in Kent and today Audley owns a portfolio of twelve across the country. Audley owners buy their own house or apartment on a 125 year lease with access to the Audley Club facilities and flexible care if needed, enabling them to live an independent and healthy life. Audley is an accredited provider of homecare and a founder member of The Associated Retirement Community Operators, ARCO.
For more information, go on-line at: www.audleyretirement.co.uk
[i] Survey of 1,280 over 55s, with houses worth £300,000 or more by Audley, September 2014
[ii] Housing and home ownership in the UK, ONS Digital, January 2015