Taylor Scott International News
A lack of suitable homes for downsizing is preventing a large number of home owners in the UK from moving to a smaller property, it is claimed. Some 33% of home owners aged 55 and over are considering or expect to consider downsizing, but a lack of suitable options is preventing them from moving, a new report says. A new YouGov survey for the report found 29% who have already downsized or are considering or expecting to consider downsizing did or expect to release in excess of £100,000 in equity, with the most prevalent way of using the money being to put it in a savings account. The report, Generation Stuck: Exploring the Reality of Downsizing in Later Life, has been written by the International Longevity Centre UK and commissioned by retirement house builder McCarthy & Stone. The report suggests that a 'Generation Stuck' dilemma is being created by a substantial number of older people who want to move and downsize, but can't due to a lack of choice in the market place. A chronic under supply of suitable properties for later life, including purpose built retirement housing, means the UK is running out of homes for its ageing population, leaving them stuck in under occupied properties unsuited to their needs. According to previous research findings some 52% of all people who classify as under occupiers in the UK are aged 55 and over and at current market trends, it would take 20 years for housing supply, at its current rate, to meet the demand of just half of people aged 60 and over interested in downsizing. As part of the report, a new YouGov survey found 48% of the 1,252 home owners surveyed would consider downsizing or have already moved to a more suitable property, making this an area worthy of much greater policy consideration by Government. Of those who have already downsized or are at least considering downsizing some 56% wanted to do so to spend less on property maintenance, 43% wanted to reduce their bills and 43% wanted to move as their children had left home. The finding that almost three in 10 home owners aged 55 or over expect to release more than £100,000 in equity from downsizing is reinforced by McCarthy & Stone's figures which show its home owners released an average of almost £60,000 in equity when downsizing to a retirement apartment, with 19% releasing more than £100,000. The report also details how these home owners used, or plan to use, such equity. Some 35% wanted to put it into a savings account, 30% to enhance their day to day life, and 19% to give it to family members. Of those aged 55 to 59 34% wanted to put it towards a pension. ‘Housing and planning policy should not just be about starter homes. Millions of older people want to downsize to more suitable housing but there is currently little incentive or choice for them to move…. Taylor Scott International
Taylor Scott International, Taylor Scott
