ENJOY HOL LOT OF FUN IN THE SUN
More and more Scots pensioners are releasing the wealth tied up in their properties to pay for a sunshine break.
Retired homeowners are turning to equity release to pay for holidays in warmer climates.
A lifetime mortgage, the most popular type of equity release, is only repaid either when you die or move into long-term care.
According to leading over-55s financial advisers Key Retirement, a third of Scots pensioners use the cash boost from their homes to pay for holidays. And there are plenty of travel options with guaranteed sunshine, blue skies and beaches.
The Canary Islands enjoy year-round sunshine on beach destinations such as Tenerife and Gran Canaria – and they have been revamping their hotels recently.
Egypt has had a rocky few years but there’s no denying the attractions – and excellent value – of Red Sea coastal resorts such as Sharm El Sheikh.
Oman, Abu Dhabi and Dubai in the United Arab Emirates offer beaches, luxury hotels and fun trips into the desert, as well as great shopping in traditional souks and modern shopping malls.
Travelling in the opposite direction will take you to the Caribbean, where you can indulge in all-inclusive holidays in magical tropical islands such as Barbados, renowned for its clear blue waters for snorkelling and its romantic scenery.
Florida is a popular destination with Scots but instead of the theme parks, Miami is a more grown-up experience where you can enjoy the thrilling nightlife as well as the gorgeous beaches and shop for designer clothes in discount outlets.
Meanwhile, popular winter destinations that are both exotic and adventurous include Thailand, Sri Lanka and South Africa.
And this is a perfect time to visit Australia and New Zealand, where it is their summer.
Other reasons people release property wealth include home improvements (64 per cent), clearing debts, with three in 10 pensioners using the cash boost this way, and a further 23 per cent used it to pay off their mortgage.
More than a fifth also used the money to help relatives.
Dean Mirfin, chief product officer at Key Retirement, says: “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.”