The findings released today from analysis based on 4,507 people aged 55+ who released equity in their home with Key Retirement Solutions in 2007, show that there has been an 20% rise year on year in the average amount of mortgage debt owed by those in, or nearing retirement.
Further analysis shows:
• A third of all over-55s have outstanding mortgage debt (32%), while 35% of those aged 60-69 years and 29% of those 70 years and over still have mortgage repayments to make
• The average mortgage debt owed by those aged 55-59 years is £29,0836
• This amount increases with age to £31,3687 for those aged 60-64 years and £32,8718 for those aged 65-69
• The over-70s have seen a 23%9 increase in the level of outstanding mortgage debt compared to 2007, and now owe on average £45,4934
Dean Mirfin, business development director at Key Retirement Solutions said: “Whilst this analysis is based on those who have released equity from their home, if this is only part reflective of pensioners as a whole, then this is of huge concern.
“The rising cost of living is increasingly affecting all of us today, but it is the older generations that are feeling the pinch more than others. With new estimates from Age Concern putting the number of pensioner households living in fuel poverty at 2.25 million, with an estimated 250,000 pensioner households pushed into fuel poverty by the price rises this year alone, many have little income left to enjoy their twilight years.“
