Downsizing On Hold

One in three older Australian homeowners are postponing plans to downsize.

A new survey from Seniors First shows that 33.7% of homeowners aged over 55 have put their sale plans on hold as the property market softens.

Two thirds of those surveyed say they would prefer to access equity through a reverse mortgage rather than sell under current conditions.

Darren Moffatt of Seniors First says while in the past downsizing was the natural step for older Australians to unlock wealth from their home, a change in confidence has changed that.

“People are taking more time, watching the market closely and looking into alternative options before making major housing and retirement decisions,” he says.

He says that Australian Bureau of Statistics figures show that there are 5.5 million homeowners in Australia who are aged over 55.

“We are seeing growing interest from homeowners seeking greater flexibility and looking for ways to access housing wealth without putting their home on the market,” he says.