The aging population in the UK has been catching headlines for a number of reasons. As the population gets older, industries have to respond to the growing needs of older people.
The property sector is already experiencing shifts due to the aging population and this will increase in years to come.
#1 Moving out of the Family Home
With decreasing mobility, the maintenance that comes with homeownership can be overwhelming. Modernizing and updating a home can be a huge task and expense for older people, whose houses may not be ideal for their changing needs. Bills for a large family home can also be a drain on resources for older people.
Many of them are looking for different options for where they are going to live, and downsizing is one of these. 39% of homeowners are considering downsizing, saying that the ideal age to downsize is 65-69.
A recent study shows that people aged over 55 own over £1 trillion worth of property equity, with more than half currently living in homes that are too big or not suitable for their needs.
#2 Homes for Older People
Mobility is a factor that many people are concerned about, especially as they get older. The provision of lifts in apartment buildings is essential, as is disabled access to the building. Stairs can become an increasing concern for people as they grow older, so living on one floor is a sensible choice.
New city center apartments with easy access to public transport and local amenities are ideal. Wet rooms are often a far better option for older people than a traditional bathroom and en-suites are also popular. Energy efficient homes are perfect for cutting down on household bills, and brand-new kitchens, electrics, and bathrooms get rid of any safety concerns from an old house.
Studio apartments can provide easy access open plan living which is far more suited to people as they get older.
#3 Increasing Demand for Rental Property
There has been a 13% increase in the number of older people choosing to live in rented accommodation over the last four years. Renting can also allow older people more flexibility if they want to move or travel, as many are choosing to do.
Retirees are making the most of their freedom, going on holidays, traveling the world and experiencing new things. With this refreshing attitude, the pressures of homeowning can be incompatible, also causing them to consider renting.
It’s been found that nearly 20% of renters are retired, with many choosing to rent as an easier option compared to home ownership.
#4 Limiting First Time Buyers
An aging population has also influenced the housing market. With people living longer their children won’t have access to inheritance in order to get on the property ladder. Health costs and the fees for sheltered accommodation all take away from potential inheritance, so first-time buyers can’t rely on help from their parents.
An increasing number of people are struggling to buy their first home and remaining renters for longer.
#5 Opportunities for Property Investors
Property investors should keep the opportunities provided by an aging population in mind as they search for their next property. Factors like disabled access, one-floor living and proximity to public transport can make a property far more appealing to older renters.
Investing in property that appeals to older residents is a smart move for investors looking to the future. The aging population phenomenon is set to continue, and demand will also increase. RW Invest has a range of studios and apartments that provide one-floor living accommodation, in ideal locations around the UK.