A new study has revealed that more young people feel saving up for a property is more important than a pension.
Research conducted by independent market research firm Consumer Intelligence, discovered that under 35’s are three times as likely to save for a residential property than for retirement.
The report was commissioned by Nottingham Building Society and revealed that 24% of under 35’s feel that saving for a property is their priority. This was in comparison to 8% who think of saving for retirement.
For many years, retirement saving has been the main saving and investing priority for the population. However, this latest survey suggests attitudes are changing and getting onto the housing ladder is becoming the main focus for those under 35.
34% of under 35’s are saving for their first home or to move, in comparison to 18% with the population as a whole.
Young prioritising property over pensions
Best choice of investment
Just last month, Andy Haldane, Bank of England’s chief economist, noted that investing in property is a better choice of investment for retirement than paying into a traditional pension.
Ian Gibbons, senior mortgage broking manager at Nottingham Mortgage Services, said: ‘The importance that younger savers place on buying their first home or moving home demonstrates that there is strong demand for help with saving with under 35’s saying owning a home is three times more important than saving for a pension.’