Gap in the Market for Retirement Rental Property
The amount of people renting in the UK remains higher and higher, and the percentage of owner-occupiers is falling. This could mean there is a growing requirement for rental property aimed at over 65-year-olds.
In the past, it was common for people to have paid off their mortgage by the time they were retired, however, with the overall amount of renters increasing, it is expected that elderly people without their own home will also rise.
Retirement Rentals’ Peter Girling believes that there is a need for more rental accommodation aimed at older tenants.
He says: “The private rental industry has struggled to meet demand and there is a major shortage of quality private rental homes; this shortage is particularly acute in terms of housing for the elderly.”1
This shortfall could be a welcome opportunity for landlords who target older people. Properties with easy access and adaptations, such as handrails, will allow the elderly to live independently for longer.
Some older people, as well as renters who have never owned a house, can rent out their existing property and use the income to rent a smaller and cheaper retirement property.
Elderly people may benefit from living in retirement communities that are built specifically for them. Landlords could also adapt properties they already have to make them more appealing to older tenants.
Traditionally, private renting has been common amongst young people, but now, more and more families and older people are renting, and landlords should seek to target these potential tenants.