Calls for retirement housing solutions as downsizing remains ‘unfeasible’
LONDON: There are now calls for more retirement housing solutions as downsizing remains unfeasible for many older people.
A third of retirees are calling for the government to prioritise the development of more retirement housing solutions due to a lack of suitable options available to them, new research has revealed.
The research, carried out by McCarthy Stone, found that over a third (35%) of older people would consider moving, with nearly a quarter (24%) of retirees potentially needing to downsize.
But despite the impact of the pandemic creating a strong desire to move, a lack of suitable housing options remained one of the primary barriers standing in the way of older people relocating.
The poll was conducted with YouGov on 3,071 adults aged 65 and over, of which 2,711 were retired.
Almost a quarter (23%) of respondents suggested that a stamp duty exemption for downsizing would significantly encourage them to move.
Removing barriers to access for the elderly could free up over £516 billion in equity, according to McCarthy Stone, with an average move freeing up £120,000.
It said 24% would consider downsizing, equating to £352 billion in tied up equity, which could go towards health-related care costs while also directly releasing a number of properties back onto the housing market to help those further down the property ladder.
McCarthy Stone operates 475 retirement communities around the UK for an estimated 20,000 older people.
Chief Executive, John Tonkiss, believes issues can be addressed by a range of policy changes, including a stamp duty exemption for downsizers moving into a retirement community, the establishment of a Later Living Taskforce that looks at ways to build more suitable properties, and for the Government to work with Homes England, its housing delivery agency, to make 10% of their new housing designed specifically for older people.
Speaking on the results of the research, Tonkiss said: “Over the last few years, we have seen growing narratives that older people are ‘refusing to downsize’ and ‘clogging up the housing market’. However, as these results show, this completely misses the mark.
