OneFamily: Over 50s Using Free Equity To Stay In Homes
The experiences of the past 18 months mean that three-quarters (76%) of people over 50 are now more likely to stay in their current home for life, according to a study by financial provider OneFamily.
Having had a garden during lockdown was a factor in choosing to stay for more than half (53%), while 26% just realized how much they love their home.
OneFamily also found that 23% of those over 50 wanted to keep a space in the home for loved ones to visit, while 21% wanted to stay in their current home in order to pass it on to their family.
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Financially, factors such as high house prices (10%), as well as the hassle and cost of moving (31%) were major influences.
Three in five (60%) of those over 50 said they were unlikely to be moving anytime soon.
Of these, 24% would consider taking out a capital release to free up money from the value of their property.
Meanwhile, 17% say they would rather spend money on making their home more accessible than moving.
The same proportion (17%) say they would be very reluctant to move to a smaller apartment or supervised care home when they are older.
While one in 20 (5%) over 50s had already taken out an equity release, OneFamily said this appetite for remodeling rather than relocation could lead to a new adoption.
Paul Bridgwater, Product Manager at OneFamily, said: âOne of the side effects of the pandemic is that homeowners have become more attached to where they live.
Whether it’s enjoying access to green spaces or more intangible factors like family ties and memories of a home, our research suggests people seem more reluctant to consider downsizing or a move than before.
âBut staying in a house forever can come at extra expense.
âAs such, we may see an increase in the use of equity to fund renovations and adjustments to improve or adapt homes to meet life’s more complex needs later on.
âTaking out an equity release is a decision that needs to be carefully weighed with input from family members.
âIt won’t be the right solution for everyone, but if this trend of staying at home continues to grow, counselors will play a key role in helping those over 50 explore their options and make the right choices. “