According to recent research from the Office for National Statistics, the people now most likely to own their own home are those aged between 65 and 74 years old. Almost eight out of ten retirees in this age bracket live in a privately owned property, while only six out of ten 35-44-year-olds, and just four out of ten 25-34-year-olds, own the property they live in.
This picture has changed dramatically in recent years, with retirees slowly claiming an ever larger slice of the property pie. As a result, many people over the age of 65 have significant funds involved in property, with large profits available for those willing to invest the capital they’ve accrued. So are retirees investing in the property market, and just how risky are the investments they’re making?
Retirees and the property market
As the number of retirees with their own homes has grown, so too has the number investing in the property market. With retirees more active than ever, many see investing in property as a useful way to create an additional income and stay busy during their later years.
Retirees can often draw on years of business experience and specialist knowhow, as well as significant financial resources, making them ideal investors in the sector.
Retirees and risk
Though some retirees will be happy to put their money in speculative schemes, the majority opt for investments that guarantee good returns and minimal risk. Few older investors are tempted to risk their homes when it comes to investing. Most use savings or money that’s been freed up through downsizing to invest in property, placing the minimal risk on their current living situation while creating a valuable income stream.
Keeping it in the family
As well as investing in established schemes and developments, a lot of retirees are using their cash to help children and grandchildren get on the property ladder. With house prices rising more quickly than people can save, a family loan, or joint investment, is the only way that many first time buyers can get their feet on the property ladder.
With a range of opportunities available, retirees looking to make their money work a little harder have plenty of investments to choose from. Whether they want to put their money in a safe and secure scheme or take a chance on a bigger payout, retirees can use the lucrative and fast-growing market to get the financial results they need.
Interested in finding out more about investing in property in Norfolk? If so please send us a message or get in touch with Richard or Wayne on 01603 567804.
For more free tips on Property Investing SIGN UP HERE