As a key part of your financial portfolio will almost certainly be some property. Enable’s IFA’s in Bishop’s Stortford are interested to see that estate agents are reporting a surge in enquiries from property owners looking to downsize.
The recent research from Key Partnerships suggests that overall 44% of estate agents have seen more older home owners making enquiries about downsizing in the past year. Downsizing freeing up some capital and reducing your overheads might look like an attractive plan. But say 62% of estate agents many would-be downsizers have unrealistic expectations about how much capital they will raise by moving. In addition more than half, 56%, of estate agents say there is a shortage of homes on the market suitable for downsizers.
Will Hale, director at Key Partnerships says ‘When downsizing works it can be an ideal solution for older homeowners but sellers need to be realistic about how much they are going to make and it appears many are struggling to find suitable homes.’ ‘The shortage of homes for sale is pushing up prices for downsizers who may struggle to raise the sort of money they are expecting to help with retirement planning while also having to go through the upheaval of moving home.’
Key’s study found on average 16% of estate agents’ clients who were looking to downsize have given up or failed to find a new house in the past two years. If you are struggling to find a solution to releasing capital and improving your income in later years Enables IFAs are happy to help you explore all your options.
Issued by: Enable Independent Financial Life Planners • 25c North Street, Bishops Stortford, Herts CM23 2LD • Telephone: 01279 755950 – Fax: 01279 657339 Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority. It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us. NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE