70% of homeowners aged 65+ want to stay living in their current property during retirement, but only 36% believe they can do so safely without making home adaptations, according to new research by the Equity Release Council.
The findings mean at least 2.8m people are living in homes which need investment to make them safe and practical for later life, so their owners can realise their ambition to stay put during retirement.
19% of over-65 homeowners have put off important repairs or changes to their home because of a lack of money. Nearly one in six (14%) who need work done say they cannot afford to spend anything and will have to make do without.
Making their property safe to live in is considered a higher priority than adding to its value when investing in home improvements or adaptations. Among those with a need to spend on their homes, 33% prioritise safety and practical comfort over adding value, while a further 49% believe both are equally important.
The staircase or landing is the most common source of concern for over-65 homeowners: 38% see this as the most difficult part of their home to use as they grow older, followed by their garden (22%), bathroom (15%) and bedroom (12%).
Comparing views between the ages of 65-74 with those among over-75s, concerns over the safety of their bedrooms lessen with age while worries about safety in the bathroom grow.
Outdoor lights are the most commonly needed adaptation to ensure over-65s’ homes are practical and safe to live in. 76% see this as a necessary feature, with 20% of those living in a home that still needs this work carrying out
In keeping with over-65 homeowners’ safety fears, three of the five most needed adaptations are found in the bathroom. More than two in three over-65s (69%) already have or anticipate a need for a downstairs toilet, compared with 50% for a downstairs shower and 43% for an adapted bath, electric bath lift or fitted shower seat.
In each case, significant numbers of over-65s live in homes that will need extra work carried out to add these features.
The majority of over-65s (87%) would first turn to their savings to pay for home improvements or care adaptations. But 6% of over-65s have no savings put away and almost one in five (18%) have less than £10,000 to fall back on, limiting their ability to spend on essential work without increasing their financial vulnerability.
In contrast, a growing number of equity release customers are using part of their housing equity to fund home and garden improvements. The latest figures from retirement adviser Key Retirement Solutions’ Market Monitor show that 67% of customers used money from equity release for this purpose in Q1 2014, up from 58% a year earlier.
While some state support is available to help with home maintenance and adaptations, over-65s have had limited success with securing help for past projects.
More have been turned down for support via a Home Improvement Agency than were accepted (7% vs. 8%), while most were unaware of the possibility of support from this source (86%). The same is true of disabled facilities grants, with 9% successfully getting help while 15% were rejected and 76% were unaware that such support might be available.
Nigel Waterson, chairman of the Equity Release Council, said: “These findings show just how important people feel it is for them to be able to remain in their current homes throughout their retirement. Living on in familiar surroundings is clearly the majority choice, which sooner or later means tackling the practical challenge of managing their physical comfort and safety as they grow older.
“The ambition to retire in the comfort of their existing home often brings a need for adaptations to safety-proof their surroundings. Investing carefully with this in mind can extend the period of time where someone can live practically and comfortably at home before they need to consider options such as residential care.
“With many over-65s asset rich and cash poor, it is a logical step to consider releasing some of their housing equity to prolong the pleasure they take from spending their retirement years in the place they call home.”
