Two in five (38%) buy-to-let purchases from over-50 year olds were in London and the South East between 2015 and 2017, buy to let broker firm Commercial Trust found.
Two in five (38%) buy-to-let purchases from over-50 year olds were in London and the South East between 2015 and 2017, buy to let broker firm Commercial Trust found.
Averaged over the three years, the South East (19.14%) was marginally ahead of London (18.95%) for overall market share for this age demographic.
This may be attributed to greater consistency in the South East, which was sustained during 2017, when London saw a sharp fall in purchase activity.
East Anglia proved the third most popular area for investment (12.20%) over the three-year period, closely followed by the South West (11.07%).
The data suggests that London and the South East retain plenty of allure for prospective private rental sector investors, who have the available capital to complete a purchase in these regions.
A report from Retirement Advantage in 2017 suggested that one in ten people aged 50 or over, is likely to invest in property post-retirement.
With the unpredictability of annuity rates, greater freedom with how to spend their pensions and many lenders willing to accept pension income as a source of affordability, many over 50s perceive property to be a suitable alternative way to fund their retirement.
Investment in buy-to-let property can offer the prospect of capital growth, while a regular rental income may help to boost retirement income.
A third of lenders set the maximum age at which you can apply at between 64 and 69 years old and two-thirds set their maximum at between 70 and 80 years of age.
The bulk of lenders require a buy to let mortgage loan to be repaid by a maximum age of 80 or 85 years-old. Exceptions to this are hard to find, however, it is possible in one instance to borrow up to age 105 and with another lender, to the grand age of 110 years-old, while one lender sets no maximum.
Whilst some lenders will set no minimum income requirement, others may set a threshold, often £25,000 per year, before even contemplating rental income.
Landlords that are over the retirement age when applying to fund further buy to let investment, with an SA302 form to prove your existing rental income, you may not be classed as retired in the eyes of the lender.
