Over the last decade over-55s estimate that house prices in their region have risen by an average of 21.8% compared to an actual rise of 42.8 (Office for National Statistics).
Three in five (60%) over-55s have not had their home value since buying, typically almost 18 years ago.
Nigel Waterson, chairman of the Equity Release Council, said: “It is no secret that the property market has been kind to many homeowners, but it is remarkable to see how far people underestimate the potential size of their housing wealth, which puts the average pension pot in the shade.
“At a time when savings are scarce and retirees face an uncertain financial future with the end of generous final salary pensions, these findings prove just how important it is that property wealth plays a role in financial planning for later life. They also show a large number of people are looking for help to decide how using their savings, equity release or downsizing can work best to meet their individual needs.”
