Buy to let income essential for many retirees

Buy to let income essential for many retirees

16:12 PM, 21st April 2016, About 8 years ago 2

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According to a poll conducted by Responsible Equity Release …. Buy to let income essential for many retirees

72% of pensioners who have an investment property said they would struggle to make ends meet if they did not have the income from their buy to let.

81% of pensioners aged over 65 admit their buy to let properties provide a crucial boost to their retirement income

The reliance on income from buy to let in retirement is high, particularly as low interest rates reduce retiree’s savings.

92% of retirees owning a buy to let property said they are worried about the changes to mortgage interest tax relief and the impact they can have on the profit made from the investment property.

41% of pensioners said they were seriously considering selling their buy to let property despite it being a valuable income generator.

A spokesperson for Property 118’s landlord insurance provider Discount Insurance said “As a result of pension freedoms being introduced last year, many older people and retirees have withdrawn lump sums and invested in buy to let with the aim of securing additional income. However, the new changes to legislation are causing many to reconsider their decision”.

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14:54 PM, 22nd April 2016, About 8 years ago

Having worked for our selves for the last 28 years, and continually being told that you must provide for your selves in the future as you will be lucky if there is a state pension when you get to retirement, we thought it would be good to build a portfolio of rental properties which is a small bussiness in its self, and after 13 years of building and running the portfolio, learning going to landlords meetings etc etc and having lots of past and present happy tenants, we really feel it is time to pack in, as the government obviously don't want private landlords and obviously want us to be reliant on the state after all, as what else is there for us? Which the government can not mess up!

Paul Mahoney

9:54 AM, 23rd April 2016, About 8 years ago

We work with many clients approaching retirement and in retirement. Although it is difficult to unscramble an egg for those with existing portfolios especially when their strategy was to structure their portfolio with debt, a potential solution can be to sell part of the portfolio and pay down part or all of the debt. Others that haven't yet invested but require income can benefit from higher yielding property assets like serviced accommodation or purpose built student accommodation. For those that are interested in exploring their options please get in touch and I would be happy to have a discussion regarding the most suitable retirement phase high yielding investments.

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