Over 40% of landlords are putting their trust wholly in property as their means for pension provisions, according to latest research.
The survey of 879 property investors, shows 42.4%, with a further 49% using it as a major part of their income for their later years.
The findings by the Property Investors Network (PIN), comes less than a fortnight after the Financial Conduct Authority said millions of pensioners are getting a poor deal from the annuity market.
“We have a situation now where there is an endemic loss of faith amongst traditional financial institutions, and the public believe that good old bricks and mortar remain the best way forward,” said Simon Zutshi, PIN’s founder.
Zutshi said the consensus amongst those involved in property investment is it should be allowed the tax benefits given to other types of pension provision.
“The tales we’ve heard in recent years of highly paid bankers being utterly reckless with the futures of many, plus other tales of woe by those looking after our money, shows that the public should be entrusted with more control over their futures and SIPP (Self-invested personal pension) should allow residential property as part of a solid portfolio.”
He added: “State pensions are on the decline and private pensions are under invested in. Yet the performance of property historically provides enough evidence to provide a compelling argument as a means for pension provision. We hope these findings will add to the debate.”
