Property is key to pension plans for the over-45s despite mortgage worries

'‹'‹Two in five Yorkshire homeowners who are over 45 see property as'‹ '‹key to their retirement income plans'‹, according to the'‹ '‹latest Aviva Real Retirement Report.
Aviva said that long term growth in UK house prices mean the over-45s are turning attention towards property wealth to help manage their finances and boost retirement incomes.Aviva said that long term growth in UK house prices mean the over-45s are turning attention towards property wealth to help manage their finances and boost retirement incomes.
Aviva said that long term growth in UK house prices mean the over-45s are turning attention towards property wealth to help manage their finances and boost retirement incomes.

Aviva said that l​ong term growth in UK house prices and homeowners’ lasting attachment to their homes​ ​mean ​the ​over-45s in Yorkshire are turning attention towards property​ ​wealth to help manage their finances and boost retirement incomes​.

But with many facing pressure from existing mortgage debt, a desire to help younger​ ​generations onto the housing ladder, and concerns over making their money last in later​ ​life, the report raises the question: Is there enough house to go around?

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The findings show​ that o​ne in five (21​ per cent​) mortgaged over-45s in Yorkshire are worried​ ​about paying off their home loans,​ including 9​ per cent​ who ​say they ​are very worried.

Yorkshire​‘s​ mortgaged homeowners ​who are over 45 ​have outstanding loans​ ​of £79,297 on average​, which is​ 16​ per cent​ higher than the national figure of £68,189. Despite the region’s average debt being above the national average, only 12​ per cent​ are​ ​uncertain about when they will ever become mortgage free, compared ​with​ 17​ per cent​ across​ ​the UK. Another 3​ per cent​ think they will never pay off their​ ​mortgage.

Despite this pressure, Aviva’s research f​ound​ two thirds (66​ per cent​) of over-45​ ​homeowners in Yorkshire ​believe​ that their home is worth more than​ ​their pensions, savings and investments combined.

Owner-occupied homes among Yorkshire’s over-45s are worth an​ ​average of £218,868, which is 17​ per cent​ lower than the UK average of £264,402.

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​The report said that beyond the pure financial considerations, many have also developed a strong attachment to their home with the average over-45 homeowner in Yorkshire owning just three properties during their lifetime.​

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