UK retirees cash out to bolster Bank of Mum and Dad

UK retirees cash out to bolster Bank of Mum and Dad

An increasing reliance on the bank of Mum and Dad is one of the reasons that retirees are releasing funds from their home. It's a national trend that is very much evident throughout the country.

Soaring UK property prices increasing by 5.8% mean that parents, and even grandparents, are helping their family to get a foothold on the property ladder.
 
New research commissioned by retirement specialist Age Partnership found that whilst the most popular reason for releasing equity is to pay off any remaining mortgage – a requirement of releasing equity from your home - a generous 6% want to help out family members. Other reasons that retirees are releasing funds from their homes include; 4% of people want a brand new car and 9% simply desire a better quality of life.


Looking across the South of England, residents are releasing an average of £85,593 worth of equity from their homes, an increase of £2,500 since 2015. And further up the coast, research revealed that Northerners release an average of just £50,218 – a considerably lower sum than their southern counterparts.
 
The rise in the amount of equity being released is in line with the national average which has already seen growth in Q1 of 2017 up by 77%. This extra cash will go a long way in helping retirees fund the lifestyle they desire, and figures from the first quarter of 2017 indicate this trend is set to increase.

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Tom Allen
Tom Allen 20 Sep 2017

Absolutely agree with you!

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RyanGeo
RyanGeo 18 Sep 2017

A sharp correction would be a less dramatic expression to use. That is already underway in certain sectors in Reading where I practice as Chartered Surveyor

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sean benton
sean benton 01 Sep 2017

Identity theft is a thread for any profession. So,people should stay alarmed. I once take help from a letting agent and came to know that letting agents are taking every precaution to prevent fraudulent...

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Mark N.
Mark N. 30 Aug 2017

We have seen a surge in instructions over August and that should continue into September too.

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Chris
Chris 30 Aug 2017

Unfortunately, all the legislation bears its force on Landlords and ignores, naively, the effect of Rogue Tenants on the ability of landlords to keep houses in repair and offer properties for rent at reasonable...

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Christian Donovan
Christian Donovan 18 Aug 2017

The write-down on house values, combined with the fall in the GBP saddled the fund?s property portfolio with a 1.4% loss in the second quarter. The shocking amount of $240 million.

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Samantha Goodman
Samantha Goodman 11 Aug 2017

Interesting point of view.

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Samantha Goodman
Samantha Goodman 11 Aug 2017

It depends on the people, some older adults decide to make a long-distance move in order to live closer to their children or settle in a place with a lower cost of living.

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brandonlee10
brandonlee10 24 Jul 2017

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IrisJ.
IrisJ. 19 Jul 2017

Great advice, but may I also add that when buying an already built home, make sure you do all of the proper inspections. Most importantly pest inspection because people tend to get surprised when they

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IrisJ.
IrisJ. 17 Jul 2017

The third point is, in my opinion, the most important one. People have become too inconsiderate and careless when it comes to rented properties. If a landlord wants to protect their property, regular visits...

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cornishalan
cornishalan 10 Jul 2017

Added to the cost of purchasing these village properties are the above average maintenance costs. Particularly where the property is a listed building or requires specialist building skills such as thatching...

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