Four out of ten people currently renting a property in the UK are now aged over 46, with 18 per cent aged over 55 according to recent research, signalling the ‘rise of the silver renter’.*
Almost half of these older renters (46 per cent) said they were happy to rent and just one in five said they would like to own a house in the future. 81 per cent of tenants across all age groups said that renting suited their lifestyle.
The report also predicts a major growth in the private rental market. There are currently 4.5 million privately rented households in the UK, but this figure is expected to rise to 6 million over the next few years.
Girlings Retirement Rentals has highlighted that people’s negative attitudes and perceptions towards renting are changing significantly as there is a rise in the number of older people renting homes.
The availability of assured tenancies, allowing people to remain in the rental home for life, has given older tenants the reassurance that they will not have to uproot themselves.
“Many people in their 60s and 70s no longer want the financial burden of home ownership nor the worries of maintenance. If people can sell their homes and rent, they can finally access the capital from the sale to supplement their pension or other income, they can spend it and enjoy themselves, gift it to the children or invest it to fund their future retirement.”, reports Peter Girling Chairman of the company.
The flexibility of renting gives much more freedom of movement, which offers people the option to move around the country if they want to be nearer relatives and friends. Also if they want to make a fresh start, perhaps to move to the country or nearer the sea; a rental property gives the flexibility to find out more about the location before any relocation becomes permanent.
Many lifestyle changes take place as we grow older and we may find that our current property is too big, or we feel isolated if we are left living there alone, or experience restricted mobility.
The benefits of renting
- It can be easier to move house quickly when you need to
- Finding and renting a home is usually quicker than the process of buying
- There is no risk of losing money if the property’s price goes down
- Your landlord has to pay for and complete all repairs and renovations
- It is often cheaper and rental payments rarely change, making it easier to budget
- You may be able to rent a bigger home in a nicer area than you could afford to buy.
The drawbacks
- All of your rent payments go to your landlord, not towards owning a property as an asset
- If you never buy a house you have to pay rent for your whole life, even after you retire
- If your landlord decides to sell or get new tenants, you may have to move out depending on the terms of your lease
- Your landlord can set rules and restrict any changes you want to make to the property
- You have to pay a deposit, and the landlord may keep some or all of it
- Your landlord may decide to increase your rent.
* Research carried out by Your Move’s sister company LSL Corporate Client Department Ltd.
