This Blog is directed at Landlords who are interested in property in Falmouth and surrounding area. We aim to keep landlords updated on potential local property investment opportunities as well as give our light-hearted commentary on Property News items that might affect them and their property investment.
Friday, 24 November 2017
Should the 3,493 home owning OAP’s of Falmouth be forced to downsize?
The above was a
question posed to me on social media recently, after my article about our
mature members of Falmouth society and the fact many retirees feel 'trapped' in
their homes. After working hard for many years and buying a home for themselves
and their family, the children have subsequently flown the nest and now they
are left to rattle round in a big house. Many feel trapped in their big homes. Hence I dubbed these Falmouth home owning mature members of our society, ‘Generation
we force OAP Falmouth homeowners to downsize?
original article, I suggested that we as a society should encourage, through
building, tax breaks and social acceptance that it’s a good thing to downsize.
But should the Government force OAP’s?
Well, one of
the biggest reasons OAP’s move home is health related.
the statistics for Falmouth, of the 3,493 Homeowners who are 65 years and
older, 1,941 of them described themselves in good or very good health; 1,117 home owning OAPs described themselves as in fair health and 435
in poor health.
12.45% of Falmouth
home owning OAP’s are in poor health
But if you look at the figures for the whole of Cornwall Council
(not just Falmouth), there are
only 1,142 specific retirement homes that one could buy (if they were in fact
for sale) and 2,174 homes available to rent from the Council and other
specialist providers (again- you would be waiting for dead man’s shoes to get
your foot in the door) and many older homeowners wouldn’t feel comfortable with
the idea of renting a retirement property after enjoying the security of owning
their own home for most of their adult lives.
My intuition tells me the majority ‘would be’ Falmouth downsizers
could certainly afford to move but are staying put in bigger family homes
because they can't find a suitable smaller property. The fact is there
simply aren’t enough bungalows for the healthy older members of the Falmouth
population and specialist retirement properties for the ones who aren’t in such
good health. We have pleaded for the umpteenth time we need to build more appropriate houses in Falmouth!!
Government's Housing White Paper, published a few months ago, could have solved
so many problems with the UK housing market, including the issue of homing our
aging population. Instead, it ended up feeling annoyingly ambiguous. Forcing our older generation to
move with such measures as a punitive taxation (say a tax on wasted bedrooms
for people who are retired) would be the wrong thing to do. Instead of the
stick – maybe the Government could use the carrot tactics and offered tax
breaks for downsizers. Who knows – but something has to happen?
.. and come
to think about it, isn’t the word ‘downsize’ such an awful word? I prefer to use the word ‘decent-size’ instead
of ‘down-size’- as the other phrase feels like they are lowering themselves, as
though they are having to downgrade themselves in their retirement (and let’s
be frank – no one likes to be downgraded).
The simple fact is we are living longer as a population and constantly
growing with increased birth rates and immigration. So, what I would say to all
the homeowners and property owning public of Falmouth is ... more houses and decent sized apartments need to be built
in the Falmouth area, particularly more
specialist retirement properties and bungalows. The Government had a golden
opportunity with the White Paper – and were sadly found lacking.
And a message to my Falmouth property investor
readers whilst this issue gets sorted in the coming decade(s) – maybe seriously consider refurbishing older
bungalows – people will pay handsomely for them – whether that it is for sale
or rent? Just a thought..
Look after the older generation after all we will be there one day.......soon!
Numbers on OAP’s /Homeowner ship taken from
the census statistics
Numbers on Number of Retirement Property from the
Housing Care Trust – a charity that looks after the interests of the older
generation. Latest set of figures 2015/16