A growing demand for equity release plans
So it’s no wonder more and more retired Scots are using their property wealth to make over their gardens.
And there’s no better time to enjoy these relaxing green places than in the summer months.
Digging, pruning and planting can improve your health just as much as jogging and swimming, and can also help with stress, anxiety and depression.
Gardening can also cut your risk of Alzheimer’s by 50 per cent, according to a study in the Journal of Alzheimer’s Disease.
Now more green-fingered Scots pensioners than ever are enjoying this healthy past time by releasing equity on their homes.
A new study by over-55s finance specialists Key Retirement shows that the main reason for using property wealth is to pay for garden and home improvements, with 64 per cent using the cash in this way.
Other reasons for releasing equity include clearing debts such as credit cards and loans (30 per cent), and repaying a mortgage (23 per cent).
The extra cash also means pensioners can treat their family and friends, with 22 per cent helping loved ones.
Key’s Equity Release Market Monitor found retired homeowners in Scotland made on average nearly £45,000 tax-free each by cashing in on their homes in the first six months of the year.
Property wealth boosted the retirement standard of living for homeowners in Scotland by more than £46.6million in the first half of this year – an increase of 20 per cent compared with the same period last year.
Dean Mirfin, technical director at Key Retirement, said: “Property wealth is making a huge contribution to retirement planning, and that is demonstrated by the growth in the value of equity being released in Scotland.
“A 20 per cent increase in lending demonstrates just how popular equity release is in helping improve retirement finances.
“Equity release is a real alternative for over 55s who are seeing traditional retirement income solutions squeezed by historically low interest rates, and pension incomes hit by historically low annuity rates.”