Retirement special: Golden opportunities - Telegraph

Retirement special: Golden opportunities - Telegraph

Some believe retirement means selling up and downsizing, but a growing number of people are doing the reverse – buying a large home and retiring in style.

Retirees in Britain now own a remarkable £769.8 billion worth of property, according to research by Key Retirement Solutions, an equity release company. And Savills, the estate agency at the top end of the market, says about 25 per cent of buyers these days are over 50.

Estate agents regard grey hairs as the golden buyers in the housing market right now. About 40 per cent of purchasers are cash buyers, and many of those are older people preparing for retirement. With relatively few first-time buyers around, these older purchasers are key,” says Lucian Cook, director of research at Savills.

Older buyers have often paid off their mortgages and have homes to sell that were bought at relatively low prices 20, 30 or 40 years ago. As a result these individuals can afford to buy a large house today, usually without borrowing, and they can be flexible in their approach to moving, which is vital in the current unpredictable housing market.