State pensioners warning as 1000s paying out 'nearly £800 a month' for huge purchase

Half a cardinal pensioners are still paying disconnected a mortgage costing them a 3rd of their income, arsenic monthly payments travel astatine £766 connected average.

On average, retired mortgage holders inactive beryllium thousands, according to probe from implicit 50s fiscal specializer SunLife.

SunLife’s Life Well Spent report surveyed much than 2,000 radical implicit 50 and discovered that of the 69% that are homeowners, much than 1 successful 5 inactive person a mortgage, owing £67,478 connected average.

While astir of those with outstanding mortgages are inactive working, the probe showed that 14% of those inactive paying disconnected their mortgages are retired.

Sun Life said connected average, the income of a pensioner's household was £31,063.84, truthful this meant astir a 3rd of their full income is inactive being spent connected lodging oregon £9,192 a year.

Mark Screeton, CEO astatine SunLife said: “According to our research, the mean homeowner pensioner has a location worthy much than £330,000, but a household income of conscionable implicit £30,000.

“This means that the immense bulk are currency mediocre and spot rich, and portion astir ain their homes outright, astir 1 successful 20 inactive person a mortgage. For those people, a immense chunk – astir a 3rd – of that comparatively humble income is inactive being spent connected housing."

SunLife’s probe recovered that the immense bulk of retirees emotion their home, and they ne'er privation to determination but fearfulness they volition conflict financially if they don’t downsize to a cheaper property.

Earlier this month, Just Group revealed that 8 successful 10 (79%) pensioner homeowners were failing to assertion immoderate of the benefits they were eligible to person successful 2024, missing retired connected an mean of £1,807 a twelvemonth successful other income.

Nearly 1 successful 10 who were claiming were receiving excessively little, connected mean missing retired connected an further £2,915 a twelvemonth income.

Just recovered 33% were entitled to 1 of the cardinal benefits including:

- Guarantee Pension Credit is the main payment targeted astatine helping low-income pensioners. It was being claimed by lone 1 successful 10 of those pensioner homeowners who were eligible. Households failing to assertion were losing an mean £1,391 other income per year.

- Savings Pension Credit – lone 8% were eligible for the ‘top up’ payment for low-income pensioners who person humble savings but lone a 4th (25%) of those eligible were claiming, with the mean yearly nonaccomplishment £933 per household.

-Council Tax Reduction should beryllium claimed by astir 3 successful 10 (29%) of households, but lone a 4th of those were really claiming with the mean yearly nonaccomplishment £1,067.